- Hard Money Lending - We have different programs and we lend nationwide.
Program #2 -Fix and Flip Program (Nationwide)
Fix & Flip Program
Our new ARV program in the following states: AL, AK, AR, CO, CT, DE, DC, FL, GA, HI, IL, IN, IA, KS, KY, LA, ME, MD, MA, MS, MO, MT, MI, NH, NM, NC, OH, OK, PA, SC, TN, TX, VA, WA, WV, WI, and WY. I got a ton of questions asking how this loan is structured 1. Minimum purchase price of the property must be 25k or better
2. We are doing a 1st and 2nd lien * 1st lien covers 65-80% of Purchase Price or Appraisal Value (Which is the less)
* 2nd lien covers the down payment on the 1st lien, rehab costs and if there is room closing costs. -Yes if you have a GREAT deal with a large spread it is possible that the full deal could be funded
3. We will need to get an as is and arv appraisal done (your cost our appraiser)
4. Closing time is about 10-14 business days
5. FIX AND FLIPS ONLY IN THIS PROGRAM - NOT FIX AND HOLD!! Here is an example of a loan request Purchase price 50k As is value 67k Rehab budget 23k ARV 110k On the 1st lien as per this scenario we would lend 40k toward the purchase price (you would need 10k of the 50k)
On the 2nd lien we would lend 65% of the ARV less the 1st lien amount - 110k x 65% = $71.5k - 40k 1st lien = $31.5k 2nd lien Of the 31.5k on the 2nd we would cover: 10k that is needed for the 1st lien down payment and 21.5k of the rehab costs Rate on the 1st lien is 1.25% interest only payments per month Rate on the 2nd lien is 1.67% interest only payments per month So as the borrower you would need $1,500 toward rehab costs + closing costs Closing costs on this loan would be $3,200 on the 1st lien and $4,095 on the 2nd lien + title and lender fees, plus you will need to have 3 months payments on the loan in reserve So for about 10k and 3 months payments in reserve you would get into this deal. 10k out of pocket for a 27k profit !! If the ARV on this property was 120k then we would have funded the full deal!! I know you have deals that you can not find funding for, lenders dragging you along, great deals but maybe not enough capital to get in them? Email us the following 1. In the subject line of the email put the property address 2. Then supply ALL of the following to ensure a speedy reply from us: Purchase price As-is value Rehab budget ARV Your capital available for the deal Appraisal available - Yes or NO Your closing date If interested in any of these programs, please email us back with the program you are interested, for send the correspondent documentation.
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