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Deal Details
Private Loan Type
Equity Cash Out
Approx. Funding Date
03/15/2023
Property Type
Property City
Santa Ana
Property State
CA
Loan Term (months)
48
Lien Type
1st Trust Deed
Property Value
$1,260,000
Loan-to-Value
47%
Location Type
Urban
Property Condition
Fair
Occupancy at Closing
Tenant-Occupied
Number of Units
3
Borrower's Plan
Continue Rental
Exit Strategy
Refinance
Borrower Credit Rating
Fair
Interest Rate
7.95%
Origination Points
2.5%
Deal Summary
Diversified Mortgage, one of California’s oldest and lowest-priced private lenders, funded a $595,000 1st lien position hard money equity cash-out loan secured by a 3-unit residential rental property in Santa Ana, Orange County, CA. The property value was estimated to be $1,260,000 so our loan-to-value was 47%. The subject property was owned free and clear of any debt at closing. It was fully occupied and cash-flowing. The triplex was in decent condition and didn’t need any major repairs. The cash out was needed for purposes unrelated to the subject property. The Borrower had fair credit. They plan to continue leasing the property and eventually refinance as an exit strategy. The interest rate was 7.95% with amortized payments and we charged 3% origination points. The loan term was set at 48 months. This hard money loan was funded in March 2023.
Funded By
Diversified Mortgage
Multifamily Bridge Loans only. Interest Rates are 8.5% for 4-year term, 8.25% for 2 years, 7.95% for 1 year.
Dealmakers
Mike Meisenbach
Loan Agent
CA DRE Lic. 01049908