LOAN PURPOSE
Borrower sought a Business Purpose cash-out 2nd Trust Deed loan on their owner-occupied single-family residence located at 569 S. Fenimore Ave., Covina, CA. Proceeds will be used to renovate an investment property located at 1211 Stringer Ave., Los Angeles, CA a single-family home featuring 2 bedrooms and 1 bathroom, encompassing 754 square feet of living space on a 7,966-square-foot lot. Built in 1953, the subject property is situated in the City Terrace neighborhood and offers impressive views of downtown Los Angeles. Once the renovation is complete, the Borrower will list the property for sale.
PROPERTY DESCRIPTION
Located in a desirable neighborhood of Covina, CA, the subject property is a 1,543 sq. ft. single-family bungalow built in 1953. It features 3 bedrooms, 2 bathrooms, and sits on a 0.19-acre lot. The home is owner-occupied, well-maintained, and currently undergoing a bathroom remodel with new fixtures scheduled for installation. The property includes an attached 2-car garage, stucco exterior, and enjoys stable surrounding market conditions. The interior boasts a functional floor plan with good overall appeal, including a spacious living and dining area. The property is owner-occupied and has been well maintained, with one bathroom currently in the process of being remodeled—new fixtures have been ordered and are expected to be installed within days. Minor exterior touch-ups are also recommended, including paint work on the front porch. The neighborhood is known for its stability, pride of ownership, and proximity to local amenities, making this home especially attractive to end users. Overall, the home combines vintage charm with functional updates in a well-established Covina community.
WHAT WE LIKE
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- 56.02% CLTV and 55.07% Net CLTV
- Strong protective equity based on recent BPO
- Investor Yield of 11.50%
- Borrower has significant equity and monthly income sufficient to service debt
$250,000 2nd TD @ 11.50%, SFR, CO, 56.02% CLTV, 12 mo., OO, $25,000 Min., Covina, CA
