First Capital Trust Deeds secured a 12-month bridge and rehab loan in Stockton for a real estate investor who acquired dilapidated home at foreclosure auction a few weeks prior.
The loan provided $83,000 against the as-is value of the home and an additional $40,000 to rehab the property. The property needed a lot of work in order to qualify for an FHA or Fannie Mae / Freddie Mac financed end user buyer. Our borrower had extensive experience renovating properties to meet FHA/FNMA/FDMC requirements for property condition, so the $40K rehab budget would most likely be fully utilized.
12-Month Bridge and Rehab Loan Terms:
- $83,000 Initial Draw
- $40,000 Rehab Funds (Interest for Rehab Funds Accrues on Day 1)
- 12-Month Term
- No Prepayment Penalty