City Financial Mortgage

About City Financial Mortgage

City Financial Mortgage is an asset-based lender in Coral Springs, FL offering loans in Florida. Their focus is primarily on fix and flip hard money loans. Their lending parameters are flexible, including rates starting at 8.5% and loans with a maximum LTV of 65%. They will consider varying loan requests but usually focus on single family and multi-family.

Loan Types Offered: Fix and Flip Loans

Property Types Covered: Single Family, Multi Family

Areas Served: FL

Lending Guidelines for City Financial Mortgage

Below are the general loan guidelines published on the City Financial Mortgage website. Please confirm all terms and rates directly with the lender.

Loan Examples

The following loans are for education purposes only. They do not represent actual loans executed by City Financial Mortgage.

Loan Example 1

Monique finds a townhome in Miami, FL to remodel and resell. Since she doesn't have enough cash available to purchase the $320,000 house outright, she decides to take out a fix and flip loan from City Financial Mortgage. Because the lender agrees to a 85% loan-to-value, Monique will need to put 15% down so the total amount of the note will be $272,000. The rate on the note is 11% for a length of 12 months and the company requires a two point origination fee at the closing. The interest payments are to be paid monthly and the principle amount will be paid back after the property sells.

The borrower will need to bring a total of $32,400 upon closing to pay the $48,000 down payment plus the $5,440 origination fee. The monthly interest-only payments will then total $2,493 to the lender. Monique's plan is to finish the house by the end of the 12 months and resell it for $432,000. If she succeeds she will earn a total profit of $76,640 ($432,000 price - $272,000 principle amount - $48,000 cash at closing - $5,440 origination points - $29,920 in total interest payments.

Loan Example 2

Hattie finds a house in Miami, FL to rehab and re-sell. Since she does not have enough cash to buy the property outright, she takes a fix and flip loan from City Financial Mortgage with the following parameters:

$310,000 purchase price
85% loan-to-value (LTV)
6 month term
13% rate of interest
3% origination fee

Hattie plans to sell the property at the end of the term for $434,000. If she achieves this goal, the final numbers would be as follows:

$434,000 sales price
- $263,500 note principle (85% LTV)
- $46,500 down payment (15% on 85% LTV)
- $7,905 origination points (3% of the $263,500 principle amount)
- $17,128 total interest paid (6 months x 13% interest)
-----------------------
= $98,968 gross profit (does not include taxes or renovation costs)