Real estate investor sought a business purpose cash-out refinance on this SFR & AG investment property in Mendocino County, CA. The purpose of this loan is to pay-off an existing, current and in good standing small 130K 1st TD; the balance of funds will be applied towards minor property improvements. Exit strategy: refinance.
The subject property is a 1 story, SFR with 1,629 rentable SF on a 10.74 acres lot in the city of Covelo, Mendocino County, CA. The SFR consists of 6 total rooms, 2 BED / 2 BA and features several covered porch/decks and barn. Subject property is 100% occupied earning $5k/mo. rental income. The subject property is near Mendocino National Forest and the 162 hwy., which runs into local restaurants, schools, shopping, tourist casinos and the “Round Valley Airport” which is a public airport located one mile southwest of Covelo, serving Mendocino County.
What we like about this Trust Deed opportunity:
- 10.00% Investor Yield on a 1st Trust Deed
- 38.76% LTV / 37.74% Net LTV
- 3 months Prepaid Interest
- Rental property fully occupied $5K lease