Featured Loan1st and 2nd Commercial Hard Money Loans In San Francisco
Loan Amount: $3,200,000 & $375,000
Loan-To-Value: 60% CLTV
Situation & Challenge
The owner of a small commercial building in San Francisco had a maturing private money loan coming due AND needed money to renovate the subject property and another investment property prior to listing both for sale in the summer of 2020. FCTD’s lender on the first mortgage capped their loan amount at $3,200,000, which left the borrower $350,000 short of their cash needs.
Solution & Result
Over the past year, FCTD has been funding several second trust deeds with a large real estate investor that transitioned a few years ago from acquiring properties to making hard money second trust deeds on properties in California. The second lien holder liked the property and was comfortable being in second position. In the event of foreclosure by the second lien holder, the second would have to either payoff the first lender or service the debt on the first until the property could be sold or refinanced.