Successful Mortgage Vintage borrower, real estate investor and developer sought a cash-out 2nd TD on this non-owner occupied 3-unit investment property in Orange County. Proceeds from the loan will be used to complete construction of the triplex.
Until recently, the subject was a 1,471 Sq Ft Single Family Residence. The funds from our loan will be placed in funds control and will be used to complete construction on the property, turning it into a 3-unit by adding a new Jr. ADU to the main house, and a separate ADU in the backyard. The Jr. ADU will add a bedroom, 2 bathrooms, a kitchen and laundry area while the ADU will have 2 bedrooms, a bathroom, a living room and a kitchen. The total livable square footage of the property when completed will be 2,325 and will sit on a 6,250 Sq Ft lot. Once construction is complete, the triplex will be comprised of 6 bedrooms and 4.5 bathrooms and a 2-car garage and will have a monthly estimated income of $6,000 (Unit 1: $2,000, Unit 2: $1,500, Unit 3: $2,500). The exit strategy from our loan is a conventional refinance was construction is complete.
What we like about this Trust Deed opportunity:
- 10.25% annualized return
- Projected $6,000/month rental income
- 4 months Guaranteed Interest and 3 months Prepaid Interest
- Orange County location
- Non-owner occupied 3-unit investment property
