Hard Money Subdivision Loan In Fresno, California

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Hard Money Subdivision Loan In Fresno, California

First Capital Trust Deeds secured the $440,000 hard money subdivision loan for a developer in Fresno, California to build 29 single family homes. The financing was provided by an individual trust deed investor with several decades of experience lending to developers on similar projects.

The 24-month loan was for 55% of the purchase price, which is pretty common in loans against raw land and entitled projects like this. Sometimes, when there is additional collateral involved, including fully improved properties, the Loan to Value (LTV) can be higher, but with undeveloped land, 55% is pretty generous for the projects that we’ve seen over the years.

Hard Money Subdivision Loan Terms:

  • $440,000 Loan Amount
  • 11.50% Interest-Only
  • 24-Month Term
  • 6-Month Guaranteed Interest (6 interest payments required)
Do you have a similar financing scenario?
Inquire about your financing options with FCTD.