First Capital Trust Deeds secured the 24-month private money financing against a rental property in the Bay Area town of San Pablo, California.
The 33% loan-to-value (LTV) first trust deed on this investment property was fairly basic for the borrower and the trust deed investor. The borrower had owned the home free and clear for many years and wanted to use the cash-out proceeds to make renovations to the home along with another nearby rental property.
The lender issued the loan used funds from a company profit sharing plan, since this loan did not fit within their investment fund’s underwriting criteria. This was due to the smaller loan amount of $100,000 and borrower profile.
24-Month Private Money Financing Terms:
- $100,000 Loan Amount
- 11.99% Interest-Only
- 24-Month Term
- 9-Month Guaranteed Interest Clause