A Bay Area real estate investor acquired a new rental property with zero down payment by using the equity in two other investment properties by utilizing a three property private money blanket loan originated by First Capital Trust Deeds.
To close the transaction, FCTD worked with a Northern California real estate investment office that has a private money lending division to structure the 12-month bridge loan in a way that worked with buyers and also worked with the lender, which wanted a 3-month minimum interest guarantee for putting their money out there. Interest guarantees are common on private money loans as lenders want their money to earn the yield they’re expecting when issuing the loan.
Private Money Blanket Loan Terms
Loan Amount: $755,000
Term: 12 Months