Closed Loans

 

 

San Diego, CA, March 2, 2010.  The Loan Company of San Diego provided a $200,000 loan commitment allowing the borrower to refinance and recoup a portion of the cash invested in the property. The borrower purchased two adjacent SFR’s non-owner occupied (Bank owned) on a ½ acre lot for $92,500.  The two houses combined had 2,080 rentable sq.ft. and when purchased were in complete disrepair and needed extensive remodeling. The borrower did a complete remodel of both homes putting in over $163,000 in improvements for a 78% LTC.  The Loan Company provided $100,000 initial disbursement and the remaining $100,000 upon lease-up. The Borrower had the two homes preleased before construction was complete.  Using a conservative income approach to value it was a 64% LTV ratio.  The Loan Company provided the borrower an excellent bridge loan with a competitive private money rate (9.00%). This allowed the borrower to recoup some liquidity and once the property is seasoned it can be refinanced with conventional financing or sold.  The borrower was extremely pleased with The Loan Company’s ability to move fast, providing cash out and making it a smooth and hassle free process.