Waring Investments

About Waring Investments

Based in Clifton, NJ, Waring Investments is a hard money lender providing loans in New Jersey, Pennsylvania, and Texas. They provide loans for investments properties, fix-and-flip loans, and private commercial loans. They offer terms up to 96 months, rates ranging between 11% and 15%, and loan amounts ranging from $50,000 to $200,000 with a maximum LTV of 60%. They offer loans on various types of properties, including single family homes, multi family residences, apartments, offices, retail spaces, mixed use buildings, and undeveloped land.

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, Land

Areas Served: NJ, PA, TX

Lending Guidelines for Waring Investments

Below are the general loan guidelines published on the Waring Investments 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 Waring Investments.

Loan Example 1

Jonathan is a house flipper in Houston, TX. He finds a run-down property for sale and wants to remodel it and flip it for a profit. The house has a cost of $370,000 but he does not have the full amount so he takes a fix and flip loan with Waring Investments. The terms of the note include a 50% loan-to-value (LTV), so he must contribute 50% of the price as cash to closing, which makes the principle loan amount $185,000. The terms of the loan also include a one point origination fee which will be paid at closing and a 18 month, interest-only note with a 10% interest rate.

Accordingly, the borrower will be required to make a $185,000 down payment plus pay a $1,850 origination fee. After the deal closes, he will pay the lender $1,542 in monthly interest fees, or 10% multiplied by $185,000 divided by 12 months in a year. Assuming he sells the remodeled house for $536,500 at the end of the 18 month term, his gross profit (not accounting for rehab costs) would be $136,900. This is calculated by taking the purchase price ($536,500) and subtracting the principle ($185,000), the origination cost ($1,850), the money he brought to closing ($185,000), and the total interest expenses ($27,750).

Loan Example 2

Lorrie is a an investor in Houston, TX. She buys a run-down property for a rehab project and takes out a private money loan from Waring Investments with the following terms:

a) A $350,000 sales price, b) a 60% loan-to-value (LTV), c) a 6 month term, d) a 12% interest rate, and e) a 2% origination fee.

Based on a $490,000 sales price after the 6 month term, the final numbers for this deal would look like this:

$490,000 sales price
- $210,000 loan principle (60% LTV)
- $140,000 cash paid at closing (40% on 60% LTV)
- $4,200 origination fee (2% of the $210,000 principle amount)
- $12,600 total interest paid (6 months x 12% interest)
-----------------------
= $123,200 gross profit (does not include taxes or renovation costs)

No Reviews Yet

Waring Investments currently has no reviews. To add a review now, click the link below:

Write a Review for Waring Investments