Equity Wave Lending

About Equity Wave Lending

Equity Wave Lending is an Irvine, CA based hard money lender. They offer funding in California. They provide fix-and-flip hard money loans and commercial hard money loans. Their loan guidelines are versatile, including loan amounts ranging from $50,000 to $2,500,000 with a maximum LTV of 75% and terms between 1 year and 7 years. Their loan parameters do not require a minimum FICO score. They will make loans on all of the following property types: single family residences, multi family residences, apartment buildings, raw land, offices, retail units, and industrial buildings.

Loan Types Offered: Fix and Flip Loans, Commercial Hard Money Loans

Property Types Covered: Single Family, Multi Family, Apartment, Land, Office, Retail, Industrial

Areas Served: CA

Licenses: CA BUREAU OF REAL ESTATE BRE #01890464, NMLS #399144

Lending Guidelines for Equity Wave Lending

Below are the general loan guidelines published on the Equity Wave Lending 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 Equity Wave Lending.

Loan Example 1

Dan finds a duplex in Los Angeles, CA to flip and re-sell. Since he doesn't have enough cash available to buy the $240,000 project outright, he takes out a private money loan from Equity Wave Lending. The terms of the deal include a 55% loan to value (LTV), so he must contribute 45% of the price as cash at closing, making the principle loan amount $132,000. The interest rate on the loan is 11% for a length of 12 months and the lender requires a one point origination fee at closing. The interest payments are to be paid on a monthly basis and the principle will be repaid after the sale of the property.

On top of the $1,320 origination fee, Dan will also need to fund $108,000 of the purchase with his own money, or 45% of the sales price. The monthly interest only payments will then total $1,210 to the lender. If Dan sells the project for $324,000 after 12 months, he would earn a gross profit of $68,160 after subtracting the principle of $132,000, the money paid at closing of $108,000, the origination points of $1,320, and the aggregate interest payments of $14,520. This gross profit doesn't account for rehab costs.

Loan Example 2

Victor locates a duplex in Los Angeles, CA to remodel and re-sell. Since he does not have enough cash to buy the property outright, he takes a fix and flip loan from Equity Wave Lending with the following parameters:

$360,000 purchase price
50% loan-to-value (LTV)
18 month term
9% rate of interest
4% origination fee

After the rehab project is complete, if Victor sells the house for $540,000, the numbers would be the following:

$540,000 sales price
- $180,000 loan principle (50% LTV)
- $180,000 down payment (50% on 50% LTV)
- $7,200 origination points (4% of the $180,000 principle)
- $24,300 interest payments (18 months x 9% interest)
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= $148,500 gross profit (doesn't include taxes or rehab costs)

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