An Inland Empire real estate investor used a cash-out 53% LTV private money bridge loan to acquire additional investment properties.
A frequent buyer and seller of real estate used the substantial equity position in a long-term rental property to fund the acquisition of another house to fix and flip by using a 53% Loan-to-Value (LTV) private money bridge loan from First Capital Trust Deed. This property had been acquired as a discounted distressed sale at the bottom of the market and had gained considerable value in the ensuing years so it made sense to the owner to leverage this property for the down payment on another fix and flip property nearby.
Why not? For experienced house flippers who have been doing it successfully during the original credit bubble from 2001-2007, and in a tight inventory market, it makes sense especially since the Loan-to-Value (LTV) remained relatively low at 53%.
53% LTV Private Money Bridge Loan Terms:
- $225,000 Loan Amount (53% LTV)
- 9.99% Interest-Only
- 12-Month Term
- No Prepayment Penalty