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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!
Oakridge, OR has 50 bridge lenders operating within the city. The median loan amount in the city is $283,215. Interest rates for loans average 10.9%. The mean term offered for loans is 36 months. A typical loan made in the city carries a 3.0 point origination fee. The typical loan-to-value offered for loans in Oakridge is 70%.
Bill takes a hard money bridge loan from Uptown Investments in order to renovate a duplex to resale in Oakridge, OR. The list price of the property is $400,000. The borrower will be required to contribute 50% of the purchase price in cash to closing based on a 50% loan to value set by the lending company. This makes the principle amount from Uptown Investments $200,000. The loan also includes the following features: 1) a 6 month length, 2) a 8% interest-only note, and 3) a two point origination charge.
In addition to paying the $4,000 origination fee, Bill will also have to fund $200,000 of the purchase with his own money, or 50% of the purchase price. Once the loan is closed and Bill takes the project, he will begin making monthly payments of $1,333 to Uptown Investments ($200,000 principle x 8% / 12 months). If Bill meets his goal of a $600,000 total sales price at the end of the loan term, he would collect a total profit of $188,000 after repaying the principle on the note and deducting the cash he brought to closing, the origination fee, and the total monthly interest payments.
Wallace is a real estate investor in Oakridge, OR. He locates an older townhouse for a remodeling project and obtains a private money bridge loan from All State Finance Corporation with the following terms:
a) A $200,000 sales price, b) a 70% loan-to-value (LTV), c) a 12 month term, d) a 9% interest rate, and e) a 5% origination fee.
Wallace intends to list the project at the end of the term for $250,000. If he accomplishes his goal, the deal numbers would be the following:
$250,000 sales price
- $140,000 principle (70% LTV)
- $60,000 cash paid at closing (30% on 70% LTV)
- $7,000 origination points (5% of the $140,000 principle amount)
- $12,600 interest payments (12 months x 9% interest)
-----------------------
= $30,400 gross profit (does not 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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