You must have a property currently under contract in order to receive funding!
If you have a property under contract, check out your options and complete the form below:
Option 1 – Funding for purchase to 100% (no rehab funds) This is a loan. (14% plus 2 point cost)
Option 2 – Funding for both purchase AND rehab up to 100%. This is a loan. (14% plus 3 point cost)
Option 3 – Joint Venture – Funding for purchase and rehab up to 100% with no monthly payments
due and a 50/50 split of profits after all expenses (2 point cost)
All loans can usually be funded in as little as 3 days if needed. Transactional funding also available for back-to-back closings.
Frequently Asked Questions
1. What states/markets are these funds available in?
Any state is possible, but the private money lender has the most familiarity with their home market of Tucson, Arizona. For first time deals with borrowers in other cities, they typically won’t do 100% financing unless they can see that it’s a really strong deal, or the borrower has additional collateral to secure the loan.
2. What is the min and max loan amount?
They don’t have a minimum or maximum loan amount. The largest loan amount they’ve funded on a single property is $2MM.
3. What property types will they lend on?
Most of the lending is done on single family residences, but they will consider any property type. They have funded loans on land, commercial,
and multi family. For property types other than single family, the advance rates are usually lower. They look at every deal on a case-by-case basis.
4. If I wanted to JV on a property to fix it up and then I want to keep it as long-term rental, can I refi out of the private money loan?
Does this private money lender provide any long-term financing options?
If the private money lender enters into a JV on a property, they would want to determine (before any purchase is made), if the home is going to be a rental or a flip. They do have borrowers who get short term loans from them, so they can stabilize and rent the property, and then they refinance to pay off the private money loan. This particular lender doesn’t offer any long-term financing options.
5. What is the term available for short term fix and flip money? 6 months? 12 months? Any extensions?
Most loans are for 12 months. Loans can typically be extended for an additional 6 months for a cost of 1 point, provided that the loan, insurance, and taxes are all current.
6. How do monthly payments work on 100% JV deals?
If it’s a JV deal, there would be no monthly payments due, and the interest would accrue at 8% interest only and be charged as an expense to the partnership when the property sells. For example, if they supplied all the funds to purchase a property for $100,000 and it sold 6 months later, there would be an interest expense of $4000 charged to the deal.