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Funding Fix & Flip, Ground-Up Construction, and DSCR loans in 35 States. We're the lender for real estate entrepreneurs looking for fast funding, fair pricing, and amazing service.
Elmo, MT has 41 fix-and-flip lenders serving the city. The mean note amount in the city is $350,625. The mean interest rate for private loans in Elmo is 10.9%. The mean length for notes is 22 months. The mean points added to the loans is 3.6%. 75% is the mean loan to value (LTV) for offered by lenders in Elmo.
Bill closes on a $270,000 rehab project in Elmo, MT, using a fix and flip loan from Easy Brook Lending Corporation. Since the lender sets a 50% loan to value, Bill will have to put 50% down and the amount of the note will be $135,000. The interest rate on the note is 9% for a term of 18 months and the company requires a four point origination fee at the close. The interest is to be paid monthly and the principle amount will be paid back after the property sells.
By the parameters of the deal, Bill will need to pay a $5,400 origination fee plus 50% of the purchase price, or $135,000, based on the 50% LTV. Once the deal is closed and Bill takes over the project, he will begin making payments each month of $1,013 to the lender ($135,000 principle x 9% / 12 months). If Bill accomplishes his goal of a $405,000 sales price at the end of the loan term, he would pocket a gross profit of $111,375 after re-paying the principle amount and subtracting the cash he brought to closing, the origination fee, and the total monthly interest payments.
Connie takes out a loan from All Star Finance Group so she can renovate a townhouse to resell in Elmo, MT. The deal has the following terms:
$330,000 purchase price
60% loan-to-value (LTV)
18 month term
13% interest rate
3% origination fee
If Connie achieves her goal of a $396,000 sales price, the outcome of the project would be as follows:
$396,000 sales price
- $198,000 loan principle (60% LTV)
- $132,000 down payment (40% on 60% LTV)
- $5,940 origination fee (3% of the $198,000 principle)
- $38,610 interest payments (18 months x 13% interest)
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= $21,450 gross profit (doesn't include taxes or renovation costs)
Funding Fix & Flip, Ground-Up Construction, and DSCR loans in 35 States. We're the lender for real estate entrepreneurs looking for fast funding, fair pricing, and amazing service.
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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