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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!
Westerville, OH has 50 hard money lenders operating in the city. The median amount loaned in this city is $323,572. Interest rates for hard money loans average about 10.2%. The average note issued in the city has a length of 17 months. The average note includes a 3.0 point origination charge. The typical loan-to-value (LTV) for loans in Westerville is 77%.
Bradley takes a hard money loan from Flippers Finance Corporation in order to rehab a house to flip in the Forest Park East area of Westerville, OH. The price of the house is $160,000. The loan-to-value (LTV) on the note is 60%. This means Bradley will bring 40% of the sales price to closing and the principle will be $96,000 on the deal. The parameters of the loan dictate a 13% note for 18 months. They also require a 1 point origination fee, which will also have to be paid at closing.
The borrower will have to contribute a total of $32,400 upon closing to cover the $64,000 down payment in addition to the $960 origination fee. The lender will collect $1,040 in monthly interest from the Bradley. This is calculated by taking the total note value of $96,000, multiplying that by the 13% interest rate, and then dividing that number by 12. Bradley's plan is to finish the project within the 18 months and sell it for $200,000. If he succeeds he will make a total profit of $20,320 ($200,000 price - $96,000 principle - $64,000 down payment - $960 origination points - $18,720 in interest.
Marion locates a duplex in the Woodstream neighborhood of Westerville, OH to rehab and resell. Since she does not have enough cash to buy the property outright, she takes a hard money loan from Big Lake Lending Group with the following parameters:
$230,000 sales price
80% loan-to-value (LTV)
12 month term
8% rate of interest
3% origination fee
Marion intends to list the property at the end of the term for $345,000. If she achieves this goal, the deal numbers would be as follows:
$345,000 sales price
- $184,000 note principle (80% LTV)
- $46,000 down payment (20% on 80% LTV)
- $5,520 origination fee (3% of the $184,000 principle amount)
- $14,720 interest payments (12 months x 8% interest)
-----------------------
= $94,760 total profit (does not include taxes or rehab costs)
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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