
We are personally invested in every loan. We deliver easy transactions that are competitively priced and swiftly executed.
Donna, TX has 50 hard money lenders serving the city. The median amount loaned in the city is $545,313. Rates on hard money loans issued to Donna borrowers average around 10.4%. The typical loan made in this city has a length of 19 months. The mean points charged for loans is 2.6%. Lenders offer on average a 72% loan-to-value on hard money loans in Donna.
Cora is a house flipper in Donna, TX. She finds an run-down property for sale in the Scissors neighborhood and wants to remodel it and re-sell it for a profit. The property has a cost of $190,000 but she does not have the full amount so she takes out a hard money loan with Brown Funding. The borrower will have to bring 50% of the sales price in cash to the closing based on a 50% loan-to-value stipulated by the lending company. This makes the loan principle from Brown Funding $95,000. The parameters of the deal also stipulate a one point origination fee which will be paid at the closing and a 12 month, interest only note with a 9% interest rate.
Cora will have to contribute $95,000 to the closing (50% on the 50% loan-to-value), plus she will need to pay the $950 origination fee. The monthly interest-only payments will then be $713 to Brown Funding. If Cora accomplishes her goal of a $285,000 sales price at the end of the loan term, she would earn a gross profit of $85,500 after repaying the principle on the note and subtracting the money she paid at closing, the origination points, and the total monthly interest payments.
Marion takes a private money loan from West End Investment Corporation so he can renovate a townhome to flip in the Scissors subdivision of Donna, TX. The loan has the following parameters:
a) A $360,000 sales price, b) a 55% loan-to-value (LTV), c) a 12 month term, d) a 12% interest rate, and e) a 5% origination fee.
Marion intends to list the house when the note expires for $468,000. If he achieves this goal, the final numbers will be the following:
$468,000 sales price
- $198,000 principle on note (55% LTV)
- $162,000 cash paid at closing (45% on 55% LTV)
- $9,900 origination fee (5% of the $198,000 principle amount)
- $23,760 total interest paid (12 months x 12% interest)
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= $74,340 total profit (does not include taxes or rehab costs)
We are personally invested in every loan. We deliver easy transactions that are competitively priced and swiftly executed.
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.
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!
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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