Featured Loan

85% LTV Purchase With a Cross in Second Position

Loan Details

Loan Amount:  $1,460,000

Loan-To-Value:  85% LTV

Rate:  9.95%

Term:  18-Month

Situation & Challenge

The buyers of this renovated home in Los Angeles wanted to complete the acquisition with only 15% down payment. Usually, it’s difficult to obtain 85% LTV private money financing when there is no “value add” to be done to increase the property value.

Solution & Result

Since this was an investment purchase, the borrowers were able to use their primary residence, which had over $1 million in equity, as additional collateral for the 85% LTV purchase money loan.

The lender did a new first mortgage at $1,460,000, placing a cross in second position on their primary residence, allowing the buyers to close on this investment property in Los Angeles.

Do you have a similar financing scenario?
Inquire about your financing options with FCTD.