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Nation’s fastest and easiest private real estate lender - Funding Fix and Flip, Ground-Up Construction, and DSCR. Closing as fast as 5 business days!
Collinston, UT has 39 bridge lenders operating within the city. The mean loan made is approximately $426,000. The mean rate for private loans in Collinston is 10.8%. The typical term for notes is 19 months. A typical hard money loan offered in the city includes a 3.0 point origination charge. 71% is the typical LTV for offered by lenders in Collinston.
Shirley closes on a $310,000 renovation project in Collinston, UT, using a hard money bridge loan from Superior Investment Group. The lender agrees to issue a loan with a 85% loan to value (LTV) so they are willing to loan $263,500 on the project. The loan is interest-only, with monthly payments, and is for 12 months at 10% interest with 3 points paid at closing.
Therefore, Shirley will be required to contribute a $46,500 down payment plus pay a $7,905 origination fee. After the loan is executed and Shirley takes the project, she will have to begin making monthly payments of $2,196 to Superior Investment Group ($263,500 principle x 10% / 12 months). If Shirley sells the property for $387,500 after 12 months, she would realize a gross profit of $43,245 after subtracting the principle amount of $263,500, the funds contributed at the close of $46,500, the origination points of $7,905, and the total interest payments of $26,350. This gross profit does not include rehab costs.
East Side Funding issues a bridge loan to Jeanine for a remodeling project in Collinston, UT. The deal includes the following:
$340,000 sales price
75% loan to value (LTV)
12 month term
10% rate of interest
4% origination fee
Jeanine intends to list the house at the end of the term for $408,000. If she accomplishes her goal, the outcome will be as follows:
$408,000 sales price
- $255,000 loan principle (75% LTV)
- $85,000 cash paid at closing (25% on 75% LTV)
- $10,200 origination fee (4% of the $255,000 principle amount)
- $25,500 interest payments (12 months x 10% interest)
-----------------------
= $32,300 total profit (does not include taxes or renovation costs)
Nation’s fastest and easiest private real estate lender - Funding Fix and Flip, Ground-Up Construction, and DSCR. Closing as fast as 5 business days!
Offering Fix and Flip, Bridge, and DSCR loans. With same day approvals, 3-5 day close time, and lending in 47 states, Park Place Finance will get your next deal funded fast!
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