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With more than $12.3B in funded loans, Kiavi is one of the nation’s largest private lenders to residential real estate investors!
Dennis, TX has 50 bridge lenders operating in the city. In this city, the median amount for loans is $298,438. Rates on hard money loans issued to Dennis investors average about 10.4%. The average note issued in this city is for 22 months. The average origination fee charged on the loans is 2.8%. 73% is the average loan to value (LTV) for offered by lenders in Dennis.
Boom Finance Corporation issues a bridge loan to Patrick for a renovation project in Dennis, TX, on a property that is listed for $190,000. Since the lender agrees to a 65% loan-to-value, Patrick will need to put 35% down so the amount of the note will be $123,500. The loan also has the following features: 1) a 18 month term, 2) a 13% interest only note, and 3) a five point origination charge.
On top of the $6,175 origination fee, Patrick will also have to fund $66,500 of the purchase with his own funds, or 35% of the sales price. he must then pay $1,338 monthly to the lender. If Patrick sells the house for $247,000 after 18 months, he would earn a gross profit of $26,743 after subtracting the principle of $123,500, the funds contributed at the close of $66,500, the origination points of $6,175, and the aggregate interest payments of $24,083. This gross profit does not account for building costs.
Alberta finds a duplex in Dennis, TX to remodel and re-sell. Since she does not have enough cash to buy the property outright, she takes a hard money bridge loan from USA Lending Company with the following parameters:
a) A $150,000 sales price, b) a 70% loan-to-value (LTV), c) a 6 month term, d) a 8% interest rate, and e) a 1% origination fee.
Assuming a $210,000 sales price at the end of the 6 month term, the final numbers for this project would look like this:
$210,000 sales price
- $105,000 loan principle (70% LTV)
- $45,000 down payment (30% on 70% LTV)
- $1,050 origination points (1% of the $105,000 principle)
- $4,200 interest payments (6 months x 8% interest)
-----------------------
= $54,750 total profit (doesn't include taxes or rehab costs)
With more than $12.3B in funded loans, Kiavi is one of the nation’s largest private lenders to residential real estate investors!
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!
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!
The ORIGINAL LENDER of NOT requiring any of the below: NO Application, tax returns, credit check, appraisals, pre-inspection, prepay penalty, upfront fees, survey, bank statements or employment!
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The ORIGINAL LENDER of NOT requiring any of the below: - NO Application - NO Tax Returns- NO Credit Check - NO Appraisals - NO Pre-Inspection - NO Prepay Penalty - NO Upfront Fee - NO Survey - NO Bank ...
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