The subject property was purchased by the borrower in 2010 for $750,000, with an additional $100,000 in upgrades being added over the years.
The property is owned free and clear by the borrower and has a market value in the low $1.0 million range, making the loan-to-value ratio less than 60%.
This gives us, as the lender, sufficient protection from a market downturn.
Additionally, the most recent sale in this apartment building was for a smaller, unrenovated unit, which sold for $955,000.
Orange County is one of the strongest and most desirable real estate markets in the country, with the average property ranging between $1.17M and $1.20M.
Crescent Lenders will hold first position on this 36-month private money cash-out loan. It should be noted that while the loan is to be amortized over 10 years, it will be fully repaid in 3 years by our client.
The borrower is using the funds to take advantage of another real estate opportunity, which is tied to his highly successful day-to-day business.
Crescent Lenders has a long-term history with this borrower, who has a proven track record, allowing us to fund this deal at the below market rate of 8.50%.
With a loan-to-value ratio of 60% and a first deed title position, Crescent Lenders has confidence in the position and the borrower.
The borrower is a successful business owner who also owns a successful light industrial towing business and continues to grow this other business, for which he has over a dozen locations.
He is also a repeat borrower with a low risk factor, strong financial history, and excellent credit.
---
Founded by California real estate investors in 2010, Crescent Lenders has built its reputation on reliably funding real estate deals with private money loans and delivering over 100 million dollars in funding in the last 10 years alone.
This latest cash-out short-term private money loan is another example of the company's commitment to fast, flexible financing solutions that help investors close deals quickly and seize opportunities in the competitive California real estate market.
Click here to learn more about how Crescent Lenders assists real estate investors across Orange County.
Photos: (Click photo to enlarge)
Source: Crescent Lenders
Read Full Story - Crescents Funds 600K Real Estate Deal in Orange County | More news from this source
Press release distribution by PRLog