Closed Loans

Menifee, CA, August 18, 2011.  The Loan Company of San Diego provided a $139,000 loan commitment (1st Trust Deed) allowing the borrower to purchase a bank owned (REO) single family residence non-owner occupied investment property. The purchase price for the 2,953 sq.ft. 5BR/ 3BA was $186,199. The borrower will be doing some slight remodeling then resell the property upon completion as the exit strategy. The Loan Company provided $129,000 initial disbursement with a $10,000 holdback disbursed upon completion of the improvements.  The sales comps support a conservative sales market approach to value of $225,000 upon completion of remodel or a 62% LTV ratio.  If the home were to become a rental the market rent after expenses is sufficient to service the debt.  The Loan Company provided the borrower an excellent bridge loan with a competitive private money rate. The borrower was extremely pleased with The Loan Company’s ability to move fast and hassle free, allowing the borrower the flexibility and speed to compete in the competitive bidding process for bank owned properties.