Real estate investor and full-time wage earner employee sought a cash-out 1st TD on this Lancaster SFR in LA County. Funds from our loan were used to payoff a 1st & 2nd TD as well as cash-out to make minor updates to the same property.
The subject property was a traditional style single story SFR sitting on a large 40,174 SF lot (just under 1 acre) which is typical for the area. The home itself was 1,322 SF with 6 total rooms and 3 BR/2 BA. The subject featured a fireplace, patio, dining room and living room. Schools, shopping, recreation, entertainment and medical facilities were all nearby. Current rental income was $1,300/month. Exit strategy from this loan will be a conventional refinance.
This loan was a 65.00% LTV on the BPO value of $220,000. Loan structure featured 6 months’ guaranteed interest, 6 months’ prepaid interest and 9.50% annualized return. Minimum investment was $37,750 or 25%.