1. Loan Purpose: The 3 Family Member Borrower’s sought a $120,000 business purpose second trust deed loan secured by their primary residence in Santa Ana, CA. The loan proceeds will be used to pay off an existing Home Equity Line of Credit (HELOC) and to complete restroom and cosmetic renovations at their popular family-owned Mexican restaurant, in the ParkCenter area of Santa Ana. In addition to restaurant revenue, and income from the Son’s warehouse job, the borrower’s have rental income of $1,700 from renting out 3 rooms in the house. The existing first mortgage is held by United Wholesale Mortgage, with a current principal balance of approximately $450,000 at an interest rate of 2.75%. The monthly mortgage payment is $2,251.08 including impounds for taxes and insurance. The loan matures in September 2051.
2. Property Description: The subject property is a single-family residence located at 1302 Kilson Drive, Santa Ana, CA 92707. Built in 1957, the home includes 6 bedrooms, 2 bathrooms, and approximately 2,042 square feet of living space on a 6,018 square foot lot. A Broker Price Opinion (BPO) completed in May 2025 estimates the current “as-is” value at $920,000. The home is in average condition overall, with no major repairs noted aside from some flooring and landscape updates. The property is situated in a well-established residential neighborhood in Santa Ana, a centrally located and diverse city in Orange County known for its historic charm, cultural attractions, and proximity to major freeways, employment centers, and retail amenities. The area enjoys stable market conditions and a high owner-occupancy rate.
What We Like:
- Strong equity position with a conservative 61.96% CLTV.
- 12.00% Return
- Interior BPO supports a valuation of $920,000 with stable neighborhood market conditions.
- Funds will be reinvested into a local small business.
- Letters of Explanation on Credit explain special circumstances for Credit Score decline
- Multiple sources of income from borrowers
$120,000 2nd TD @ 12.00%, SFR, CO, 61.96% CLTV, 24 mo., OO, $40,000 Min., Santa Ana, CA
