Hard money loans are loans specialized type of real-estate backed loan. They lend short-term capital (also called bridge loans) that provide funding based on the value of the real estate acting as collateral. Hard money lenders tend to focus on the value of the collateral property. These loans yield between 10-15% interest.
Some examples
12.5% http://www.thenorrisgroup.com/hard_money_loans/
12-15% http://wdbfunding.com/hard-money-lending/residential-investors/
What is it I am offering, I am looking for a loan of $56,000 total to be paid back $62,720 in six months or less. If the time is longer then 6 months a extension for up to 6 more months with a fee of 5,000 dollars added. The loan will be placed in first lien position against the property. For those who are not familiar with liens this means you get paid first, then the leftover is paid as profit to myself.
I would like to find someone to do these types of deals with on a long term type basis.
If you would like to call to discuss feel free to (910) 467-8033
House is a
3/2
1050 Sqft
Built in 1971
Cement foundation
Roof looks less then 5 years old.
Windows look less then 10 years old.
House needs updating in general,
Kitchen-
Counters and cabinets
Flooring
Fridge/oven/dishwasher
Bathrooms- x2
Vanity
Showers/Tubs
Inside general
Paint
Doorknobs
Hinges
Light switch panels
Electric plug panels
Carpet/Flooring
Purchase price 30k
Repair Cost 26K Contractor has already gave a estimate
Sales price 87,999 This was the BPO broker price opinion as of 3/19/2014
Profit after cost of sales
26,000
Similar house across the street just sold for 97K in under 2 months.
