Straightline Funding

About Straightline Funding

Straightline Funding is direct hard money lender that provides loans in many larger metro areas throughout the US. We specialize in 1-4 family loans for investors. Our loan menu consists of:R2R (Residential For Rent): 30 Year fixed rate loans for investors who hold properties long term for cash flow. These loans are very low doc and can close in personal or entity names. Purchase or refinance OK; Simple Bridge: Loans to purchase or refinance properties that do not need rehabbed or that the borrower will rehab using their own funds. 12-24 months terms and up to 90% LTC financing. Great for vacation rentals; Rehab Loans: Loans that provide funding to renovate a property. Strategy can be Fix & Flip or Fix to Rent. 12-24 month terms with funding up to 90% of purchase and 100% of renovations; Small Balance Bridge: A loan to service the needs of investors that do smaller deals. The Small Balance Bridge can be for purchase, refinance and/or rehab. Loan sizes $25,000 to $99,999. 12 month terms; Transactional Funding: 100% funding for double closings. Straightline is the #1 Transactional Funding Lender in the USA.

Loan Types Offered: Investment Property Loans, Fix and Flip Loans, Refinance / Cash Out Loans, Bridge Loans

Property Types Covered: Single Family, Multi Family

Areas Served: AL, GA, IL, NC, SC, AR, DC, CO, FL, IA, IN, KS, KY, LA, MA, NJ, VA, WI, MO, MS, PA, OH, MI, TX, OK, MD, NE

Lending Guidelines for Straightline Funding

Below are the general loan guidelines published on the Straightline 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 Straightline Funding.

Loan Example 1

Monica closes on a $300,000 rehab project in Chicago, IL, using a hard money loan from Straightline Funding. The loan to value (LTV) on the note is 80%. This means Monica will have to bring 20% of the purchase price to closing and the principle will be $240,000 on the deal. The parameters of the deal also stipulate a two percent origination fee which will be paid at closing and a 6 month, interest-only note with a 11% rate of interest.

The borrower will have to bring a total of $32,400 up front to cover the $60,000 down payment in addition to the $4,800 origination fee. The monthly interest only payments will then be $2,200 to the lender. If Monica sells the project for $420,000 after 6 months, she would then make a total profit of $102,000 after subtracting the principle of $240,000, the cash paid at the close of $60,000, the origination points of $4,800, and the total interest payments of $13,200. This profit doesn't account for remodeling costs.

Loan Example 2

Tania takes a private money loan from Straightline Funding in order to rehab a townhouse to resell in Chicago, IL. The loan has the following terms:

$370,000 sales price
65% loan-to-value (LTV)
18 month term
8% interest rate
3% origination fee

Based on a $462,500 sales price at the end of the 18 month term, the outcome for the deal would look like this:

$462,500 sales price
- $240,500 loan principle (65% LTV)
- $129,500 down payment (35% on 65% LTV)
- $7,215 origination points (3% of the $240,500 principle)
- $28,860 total interest paid (18 months x 8% interest)
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= $56,425 total profit (doesn't include taxes or renovation costs)