The experienced buyer of this Pico Rivera starter home obtained an 84% loan-to-value (LTV) hard money fix and flip financing loan to acquire the property in a very straight forward high-leverage, low-upfront cost loan. Since the borrower had a great track record of success, the process went quickly and smoothly. The trust deed investor was comfortable going to 84% LTV since they estimated the after repair value (ARV) would be close to $400,000, making this an 84% LTV loan on the purchase and 55% of ARV, which was deemed a pretty safe risk.
Fix and Flip Financing Terms:
- $235,000 Loan Amount (84% LTV and 55% ARV)
- 11.00% Interest-Only
- 12-Month Term
- No Prepayment Penalty