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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!
Grantsville, UT has 39 bridge lenders serving the city. The average loan made is about $369,643. Interest rates on private loans issued to Grantsville borrowers average around 10.5%. The median term offered for notes is 18 months. A typical hard money loan made in the city includes a 2.9 percent origination fee. Lenders in Grantsville average a 74% loan to value on their loans.
Flora finds a townhome in Grantsville, UT to rehab and resell. Since she does not have enough cash to buy the $400,000 project outright, she decides to take out a private money bridge loan from GJ Funding Group. Because the lender agrees to a 85% loan-to-value, Flora will be required to put 15% down and the amount of the loan will be $340,000. The loan is interest only, paid monthly, and is for 18 months at 12% interest with 2 points to be paid when the deal closes.
Flora will need to fund a total of $32,400 upon closing to cover the $60,000 down payment in addition to the $6,800 origination fee. After the loan is executed and Flora takes the project, she will need to begin making monthly payments of $3,400 to GJ Funding Group ($340,000 principle x 12% / 12 months). If Flora sells the property for $580,000 after 18 months, she would make a total profit of $112,000 after deducting the original principle of $340,000, the funds contributed at closing of $60,000, the origination points of $6,800, and the total interest payments of $61,200. This gross profit does not include rehab costs.
Marta takes a bridge loan from Acme Investments in order to renovate a townhome to resell in Grantsville, UT. The deal has the following parameters:
$200,000 purchase price
75% loan to value (LTV)
6 month term
14% interest rate
5% origination fee
Marta plans to list the house at the end of the term for $290,000. If she succeeds, the outcome will be the following:
$290,000 sales price
- $150,000 loan principle (75% LTV)
- $50,000 cash paid at closing (25% on 75% LTV)
- $7,500 origination points (5% of the $150,000 principle)
- $10,500 interest payments (6 months x 14% interest)
-----------------------
= $72,000 gross profit (doesn't include taxes or renovation 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!
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Stratton Equities is the Leading Nationwide Direct Private Money & NON-QM Mortgage Lender that specializes in fast and flexible lending processes. We have the largest library of private money and NON-QM nationwide loan programs under one roof. Our team is ...
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Based in Johnson City, TN, Riverdale Funding is a hard money lender offering loans in 37 states across the country. They provide lending solutions for a variety of scenarios, including loans for investments properties, commercial hard money loans, fix ...
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