This Fresno hard money rehab loan was funded for a long term client of ours. We have years of experience with this client and he has shown the ability to find a number of hidden gems. This property is a unique property for the area due to the size of the land and the prescence of two structures. Both structures were in need of rehab, with the goal being to fix and flip the property for a profit.
The purchase price for this property was $115,000, and it needed a little less than $50,000 in rehab work. Work required on this transaction included new AC units, doors, windows, cabinets in the kitchens, flooring, paint, landscaping
and bathroom upgrades. The estimated as completed price, and anticpated listing price of the property, was $260,000.
Due to the nice sized spread with large profit potential and our long term
relationship with this client we were able to assist in funding the hard money rehab loan as well as in identifying an equity partner to bring in the cash required to close. In this situation the equity partner brings in the cash difference between our hard money rehab loan and the total project cost in exchange for 50% participation in the project.
We are able to offer hard money rehab loans in Fresno and throughout the state of California. These loans are typically short term loans of 12 months or less, have no prepayment penalty and fund an interest reserve to make payments on the loan as well as a builders control element from which borrowers are able to draw funds to do the work on the properties that needs to be done. In addition to our rehab hard money loans we also have programs that offer longer term programs for investors looking to buy and hold property. These loan programs typically will finance up to 75% of the purchase price and can be set on 3-5 year terms or longer. For more information please visit our California rehab lending page.