Case StudyPrivate Money HELOC in California
Loan Amount: $1,600,000
Loan-To-Value: 55% Combined LTV
Situation & Challenge
A La Jolla business owner used a 24-month private money loan in second position on their oceanfront home.
The challenge is getting a $1,600,000 business line of credit from a bank. The path of least resistance is using the a private money HELOC to access capital quickly and without jumping through all the hoops that a bank would require.
Solution & Result
First Capital Trust Deeds secured a commitment from a Northern California investment fund for a 24-month HELOC on the business owner’s primary residence.
After the appraisal came in at expected value, the lender closed on the line, issuing $800,000 cash-out to the borrower. In all, the loan took under three weeks to close.