Equity Cash Out Loan for SFR Portfolio in New Braunfels, Texas

Bench Equity, a private money lender for alternative loans, funded a $1,563,596 equity cash-out loan in 1st lien position secured by a portfolio of 4 residential properties located in New Braunfels, Pflugerville, and Kyle, TX. The value of all 4 properties was estimated to be $1,954,494 so our loan-to-value was 80%. The Borrower is a very experienced investor who specialized in house flips and completed 15+ deals using Bench Equity’s flexible financing. Their wealth of experience and stellar payment history allowed us to offer 80% of their post-rehab value without requiring appraisals, background checks, or bank statements. All four properties were owned free and clear of any debt. The subject properties were newly renovated and vacant at closing. The Borrower plans to sell the property upon completion of rehab, and eventually sell it as an exit strategy. The interest rate was 11.5%. The loan term was set at 6 months. This equity cash-out loan was funded in November 2022.