Mortgage Man Funding

About Mortgage Man Funding

Mortgage Man Funding is private lender headquartered in Louisville, KY. They offer funding in Louisville, Indianapolis, and Cincinnati. They offer fix and flip loans and short term bridge loans. They offer loans with a maximum LTV of 70%. The focus of their lending is for single family residences and multi family residences.

Loan Types Offered: Fix and Flip Loans, Bridge Loans

Property Types Covered: Single Family, Multi Family

Areas Served: Louisville, Indianapolis, Cincinnati

Lending Guidelines for Mortgage Man Funding

Below are the general loan guidelines published on the Mortgage Man Funding 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 Mortgage Man Funding.

Loan Example 1

Henry finds a house in Louisville, KY to rehab and resell. Since he doesn't have enough cash on-hand to acquire the $180,000 property outright, he takes out a hard money loan from Mortgage Man Funding. The borrower will have to bring 45% of the purchase price in cash to closing based on a 55% loan to value stipulated by the lending company. This makes the loan principle from Mortgage Man Funding $99,000. The rate on the loan is 13% for a length of 6 months and the company requires a two point origination fee at the close. The interest payments are to be paid on a monthly basis and the principle amount will be paid back after the sale of the property.

In addition to paying the $1,980 origination fee, Henry will also need to fund $81,000 of the purchase with his own money, or 45% of the purchase price. After the deal closes, he will have to pay Mortgage Man Funding $1,073 in monthly interest payments, or 13% multiplied by $99,000 divided by 12 months in the year. Assuming he sells the rehabed project for $261,000 at the end of the 6 month term, his gross profit (not including remodeling expenses) would be $72,585. This is computed by taking the sales price ($261,000) and subtracting the original principle ($99,000), the origination cost ($1,980), the cash he brought to closing ($81,000), and the total interest payments ($6,435).

Loan Example 2

Mortgage Man Funding issues a loan to Myra for a renovation project in Louisville, KY. The deal dictates the following:

$160,000 purchase price
80% loan to value (LTV)
6 month term
8% rate of interest
3% origination fee

If Myra achieves her goal of a $192,000 sales price, the final numbers of the project will be the following:

$192,000 sales price
- $128,000 note principle (80% LTV)
- $32,000 cash paid at closing (20% on 80% LTV)
- $3,840 origination fee (3% of the $128,000 principle amount)
- $5,120 total interest paid (6 months x 8% interest)
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= $23,040 total profit (does not include taxes or renovation costs)

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