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Deal Details
Private Loan Type
Purchase
Approx. Funding Date
01/26/2023
Property Type
Property City
Water Mill
Property State
NY
Loan Term (months)
12
Lien Type
1st Mortgage
Payment Type
Interest Only
Purchase Price
$4,100,000
Loan-to-Purchase Price
80%
Borrower's Contribution to Purchase
20%
Source of Borrower's Contribution
Cash
Location Type
Suburban
Property Condition
Good
Occupancy at Closing
Vacant
Number of Units
2
Building Square Footage
3,700
Lot Acreage
4.56
Borrower's Plan
Rehab and Rent
Exit Strategy
Refinance
Interest Rate
12.75%
Origination Points
2.75%
Broker Commission
$24,600
Deal Summary
Conventus LLC, a direct private mortgage lender, funded a $3,280,000 1st lien position purchase bridge loan for the acquisition of residential investment property in Water Mill, Southampton, NY. We financed 80% of the $4,100,000 purchase price, while the Borrower contributed 20% cash at closing. The property is a large single-family residence with a separate guest house. The investment plan is to renovate both the main house and the guest house, as well as add a tennis court to increase value. The decor was outdated so the Borrower plans on investing $50,000 in cosmetic upgrades using their own cash. As an exit strategy, they plan to refinance into permanent debt and keep the property as a short-term rental. The guest house can be rented separately from the main house. The property was vacant at closing. The interest rate was 12.75%. We charged 3% origination points, and the broker earned a $24,600 commission. The loan term was set at 12 months interest-only with no prepayment penalty. This SFR purchase bridge loan was funded in January 2023.
Funded By
Conventus
We Fund Fast While Providing Excellent Service and Competitive Pricing
Dealmakers
Lindsey Lawson
VP of Sales