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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!
There are 34 private money lenders serving Organ, NM. In this city, the median loan amount is $345,000. Rates for private loans average around 11.5%. The average length for notes is 23 months. The average note includes a 3.0 point origination fee. The mean loan to value for loans in Organ is 75%.
Doreen is a real estate investor in Organ, NM. She finds a run-down property for sale and decides to renovate it and sell it for a profit. The house has a cost of $160,000 but she does not have the full amount so she takes out a private money bridge loan with Yellow Sun Finance Company. The loan to value (LTV) on the deal is 80%. This means Doreen will bring 20% of the purchase price to the closing and the principle amount will be $128,000 on the note. The loan also includes the following features: 1) a 18 month term, 2) a 8% interest-only note, and 3) a two percent origination charge.
On top of the $2,560 origination fee, Doreen will also fund $32,000 of the purchase with her own money, or 20% of the purchase price. The monthly interest-only payments will then be $853 to the lender. Doreen's plan is to finish the house by the end of the 18 months and sell it for $216,000. If she succeeds she will collect a gross profit of $38,080 ($216,000 price - $128,000 principle amount - $32,000 cash at closing - $2,560 origination points - $15,360 in total interest.
Millie finds a house in Organ, NM to rehab and re-sell. Since she does not have enough cash to buy the property outright, she takes a private money bridge loan from Red City Lending Corporation with the following parameters:
$290,000 sales price
85% loan to value (LTV)
6 month term
10% interest rate
4% origination fee
Based on a $435,000 sales price at the end of the 6 month term, the numbers for the project would look like the following:
$435,000 sales price
- $246,500 note principle (85% LTV)
- $43,500 down payment (15% on 85% LTV)
- $9,860 origination fee (4% of the $246,500 principle amount)
- $12,325 interest payments (6 months x 10% interest)
-----------------------
= $122,815 gross profit (does not include taxes or rehab 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!
With more than $12.3B in funded loans, Kiavi is one of the nation’s largest private lenders to residential real estate investors!
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