Executive Summary: Borrower sought a 1st TD cash out loan secured by a non-owner-occupied investment SFR located in a suburban neighborhood of Los Banos, Merced County, California. Borrower is employed by the U.S. Air Force and demonstrates a reliable income of over $100K in addition to another income generating investment property in Missouri. The borrower inherited this subject property from a deceased family member and is using the funds to cosmetically remodel (new paint, landscaping, carpet, appliances) property to rent for $2,500 then, refinance into a conventional loan to pay off this new loan.
Property Description: This single-story, traditional residence offers a total of 8 rooms, 3 bedrooms and 2 bathrooms, with approximately 1,846 SF of living space on a 0.15-acre lot. The property features an attached two-car garage, fireplace, front and backyard. Subject is well located near many stores, schools, restaurants, shopping, parks and 5 FWY.
Investment Highlights
- Low LTV of 38.63% and Net LTV of 37.38%
- Attractive 11.00% interest yield on 1st TD over 24-month term
- 1st TD secured by non-owner-occupied SFR
- BPO estimate of value after minor repairs $475,000 – $485,000
$175,000 1st TD @ 11.00%, SFR, Refi, 38.63% LTV, 24 mo., NOO, $43,750 Min., Los Banos, CA
