Hard Money Loan for SFR Purchase in Los Angeles

Funded by S&L Capital Group

$480,000

Deal Details

Private Loan Type

Residential Fix and Flip

Approx. Funding Date

10/13/2022

Property Type
Single Family Residence
Property City

Los Angeles

Property State

CA

Loan Term (months)

12

Lien Type

1st Mortgage

Payment Type

Interest Only

Purchase Price

$600,000

Loan-to-Purchase Price

80%

Borrower's Contribution to Purchase

20%

Source of Borrower's Contribution

Cash

Location Type

Urban

Property Condition

Poor

Occupancy at Closing

Vacant

Building Square Footage

1,764

Lot Square Footage

4,194

Borrower's Plan

Rehab and Sell

Exit Strategy

Sale

Deal Highlights

Acquisition funding only. Borrower wanted to self-fund the rehab.
This was our 5th loan provided to the satisfied repeat borrower.

Deal Summary

S&L Capital, a Southern California lending firm, provided a $480,000 acquisition hard money loan to a repeat borrower implementing a fix and flip strategy on a single-family residence in Los Angeles, California. The purchase price was $600,000. The Borrower elected to go for an 80% loan-to-purchase price in 1st lien position, with no fund control, and contributed 20% cash. While most lenders seem to like to max out leverage and force a component of the rehab to be financed, S&L Capital Group offers its Borrower an option to not finance rehab. This loan structure has multiple benefits and allows the borrower to move through the renovation more efficiently without the headaches of utilizing a fund control for a small rehab. This rehab was estimated to be completed within 3 months. The subject property was in poor condition and is approximately 1,764 square feet on a 4,194 square-foot lot. The Borrower planned to rehab and then sell the property within the 12-month loan term. This was our 5th funded loan for this Borrower with a growing track record in the great Los Angeles area. This hard money loan was funded in October 2022.

Funded By

S&L Capital Group

Brea, CA

Dealmakers

Corey Siegel

President