Featured Loan12-Months Interest Reserve Set Aside For Payments
Loan Amount: $2,100,000
Loan-To-Value: 60% LTV
Term: 24 Months
The owners of this listed luxury home in Palm Springs wanted to reduce their out of pocket expenses by doing a cash-out refinance and setting aside 12-months of payments to service the mortgage debt.
Multi-million dollar homes have a longer marketing period than lower priced homes. The client ideally needed an 18-24 month term in order to find the right buying at close to list price.
Solution & Result
FCTD provided a 24-month private money loan from a Los Angeles-based private lender that had financed a few properties in the neighborhood that the subject property was located.
The lender set aside 12 payments into an interest reserve account, reducing the monthly out of pocket costs for the owners. The home eventually sold 13 months after we closed the loan for the borrowers.