Scottway Capital
1106 2nd Street Suite 823
Encinitas, CA 92024
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About Scottway Capital
Headquartered in Encinitas, CA, Scottway Capital is a private lender providing funding in California. They provide hard money loans for commercial properties, buy and hold loans, and fix and flip loans. They offer loans with a maximum LTV of 65%. They will make loans on numerous property types, including single family residences, multi family, apartment buildings, office units, retail units, and mixed use.
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Loan Types Offered: Investment Property Loans, Fix and Flip Loans, Commercial Hard Money Loans
Property Types Covered: Single Family, Multi Family, Apartment, Office, Retail, Mixed Use
Areas Served: CA
Licenses: California BRE #01777939
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Lending Guidelines for Scottway Capital
Below are the general loan guidelines published on the Scottway Capital website. Please confirm all terms and rates directly with the lender.
Investment Property Loans
Loan Amounts: N/A
Available Rates: N/A
Typical Terms: N/A
Points Charged: N/A
Max Loan-to-Value (LTV): 65%
Max Loan-to-Cost (LTC): N/A
Owner Occupied Allowed: N/A
Interest Only Loans: N/A
Prepayment Penalties: N/A
Minimum FICO Score: N/A
Time to Close: N/AFix and Flip Loans
Loan Amounts: N/A
Available Rates: N/A
Typical Terms: N/A
Points Charged: N/A
Max Loan-to-Value (LTV): 65%
Max Loan-to-Cost (LTC): N/A
Owner Occupied Allowed: N/A
Interest Only Loans: N/A
Prepayment Penalties: N/A
Minimum FICO Score: N/A
Time to Close: N/ACommercial Hard Money Loans
Loan Amounts: N/A
Available Rates: N/A
Typical Terms: N/A
Points Charged: N/A
Max Loan-to-Value (LTV): 65%
Max Loan-to-Cost (LTC): N/A
Owner Occupied Allowed: N/A
Interest Only Loans: N/A
Prepayment Penalties: N/A
Minimum FICO Score: N/A
Time to Close: N/A -
Loan Examples
The following loans are for education purposes only. They do not represent actual loans executed by Scottway Capital.
Loan Example 1
Marvin is an investor in Los Angeles, CA. He locates a run-down property for sale and decides to remodel it and flip it for a profit. The house costs $300,000 but he does not have the full amount so he takes a fix and flip loan with Scottway Capital. The terms of the deal include a 75% loan to value (LTV), so he must contribute 25% of the price as cash at closing, making the principle note amount $225,000. The note is interest-only, with monthly payments, and is for 6 months at 14% interest with 3 origination points to be paid at closing.
On top of the $6,750 origination fee, Marvin will also have to fund $75,000 of the purchase with his own money, or 25% of the sales price. The monthly interest-only payments will then be $2,625 to the lender. If Marvin sells the remodeled project for $435,000 at the end of the 6 month term, his total profit (not including remodeling expenses) would be $112,500. This is calculated by taking the purchase price ($435,000) and subtracting the original principle ($225,000), the origination fee ($6,750), the funds he contributed to closing ($75,000), and the total interest payments ($15,750).
Loan Example 2
Jerry is a real estate investor in Los Angeles, CA. He purchases an older townhouse for a remodeling project and obtains a hard money loan from Scottway Capital with the following paramters:
$170,000 sales price
70% loan-to-value (LTV)
12 month term
13% rate of interest
5% origination feeJerry plans to list the house at the end of the term for $204,000. If he accomplishes his goal, the final numbers would be as follows:
$204,000 sales price
- $119,000 loan principle (70% LTV)
- $51,000 down payment (30% on 70% LTV)
- $5,950 origination points (5% of the $119,000 principle)
- $15,470 interest payments (12 months x 13% interest)
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= $12,580 gross profit (does not include taxes or renovation costs) -
by tamisdca 10/25/2013
Plusses all the way! Morgan helped me list my condo and got me exactly want I wanted for it. I felt that he got the best price the market would bring, and negotiated hard on my behalf. The whole transaction took 45 days. I felt at ease knowing that he was there for me to help negotiate with the buyer and their agent. Now I am living in a new home that he helped me purchase, and its perfect!
Plusses all the way! Morgan helped me list my condo and got me exactly want I wanted for it. I felt that he got the best price the market would bring, and negotiated hard on my behalf. The whole transaction took 45 days. I felt at ease knowing that he was there for me to help negotiate with the buyer and their agent. Now I am living in a new home that he helped me purchase, and its perfect!by williampmc 10/23/2013
I love dealing with this company! They manage several of my properties throughout San Diego. They handle everything from finding the right tenants, collecting rents, handling any repair issues, and then at the end of the month they issue me a report showing me how much I net. They are extremely efficient, but mostly their service frees up my time and allows me to relax and be free of headaches that come with property management. Time and time again, Morgan finds a way to maximize rents and get me a solid return on my money. I couldn't be happier!
I love dealing with this company! They manage several of my properties throughout San Diego. They handle everything from finding the right tenants, collecting rents, handling any repair issues, and then at the end of the month they issue me a report showing me how much I net. They are extremely efficient, but mostly their service frees up my time and allows me to relax and be free of headaches that come with property management. Time and time again, Morgan finds a way to maximize rents and get me a solid return on my money. I couldn't be happier!
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