Featured LoanForeign National Bridge Loan
Loan Amount: $4,900,000
Loan-To-Value: 60% LTV
Rate: 6.99% (Year 1) | 8.99% (Year 2)
Situation & Challenge
The transaction needed to close in less than two weeks and loan pricing needed to be attractive for the investors buying this trophy home in Northern California.
The challenge was that the borrower pricing expectation was set with bank terms. Private money loans carry a higher costs and rates. First Capital Trust Deeds needed to secure financing as close to bank pricing as possible and be able to close in less than two weeks.
Solution & Result
First Capital Trust Deeds worked with a large private money investment group that could meet these requirements.
The transaction closed within two weeks on a loan with a 6.99% note rate for the first year. Most likely, the loan will be refinanced with a bank within the year. This was an excellent low-cost private money bridge loan that served its purpose of closing quickly at an attractive cost structure.