Pacshores Mortgage Inc

About Pacshores Mortgage Inc

Pacshores Mortgage Inc is a Los Angeles, CA based private lender who provides funding in Los Angeles. Their lending focus is mainly on loans for investments properties. They do not require their borrowers to have a minimum FICO score to obtain a loan. They offer loans on all the following types of properties: single family units, multi-family units, apartments, office units, retail spaces, storage facilities, mixed use buildings, and undeveloped land.

Loan Types Offered: Investment Property Loans

Property Types Covered: Single Family, Multi Family, Apartment, Office, Retail, Storage, Mixed Use, Land

Areas Served: Los Angeles

Licenses: NMLS: 366402, BRE: 00956342

Lending Guidelines for Pacshores Mortgage Inc

Below are the general loan guidelines published on the Pacshores Mortgage Inc 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 Pacshores Mortgage Inc.

Loan Example 1

Glenda is a house flipper in Los Angeles, CA. She discovers a run-down property for sale and wants to remodel it and re-sell it for a profit. The property has a cost of $190,000 but she doesn't have the full amount so she takes a private money loan with Pacshores Mortgage Inc. Because the lender agrees to a 55% loan-to-value, Glenda will be required to put 45% down and the total amount of the loan will be $104,500. The terms of the note also stipulate a one percent origination fee that will be paid at the closing and a 6 month, interest only note with a 11% rate of interest.

The borrower will need to bring a total of $32,400 up front to cover the $85,500 down payment plus the $1,045 origination fee. After the loan closes, she will have to pay Pacshores Mortgage Inc $958 in monthly interest fees, or 11% multiplied times $104,500 divided by 12 months in a year. If Glenda sells the house for $247,000 after 6 months, she would then make a gross profit of $50,208 after subtracting the principle of $104,500, the money paid at the close of $85,500, the origination fee of $1,045, and the total interest payments of $5,748. This profit doesn't include building costs.

Loan Example 2

Roxanne locates a property in Los Angeles, CA to remodel and resell. Because she does not have enough cash to buy the property outright, she takes a hard money loan from Pacshores Mortgage Inc with the following parameters:

a) A $210,000 sales price, b) a 55% loan to value (LTV), c) a 6 month term, d) a 12% interest rate, and e) a 2% origination fee.

After the renovation project is finished, if Roxanne sells the house for $315,000, the outcome would be the following:

$315,000 sales price
- $115,500 loan principle (55% LTV)
- $94,500 down payment (45% on 55% LTV)
- $2,310 origination points (2% of the $115,500 principle)
- $6,930 interest payments (6 months x 12% interest)
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= $95,760 gross profit (does not include taxes or renovation costs)