A real estate investor and known client inherited a dilapidated, small residential single-family residence owned free and clear in the San Diego area. It was underutilized, underperforming and in need of a complete remodel. The property had the capacity for a detached ADU (Accessary Dwelling Unit) that the investor wanted to construct on the property.
The investor wanted a lender to provide a quick, no-hassle, cash-out refinance and provide the funds for the complete remodel and construction of the ADU.
Fidelis Private Fund moved fast and funded a $250,000 short term 1st Trust Deed loan structured with a $100,000 initial advance with the $150,000 held for the remodel and improvement costs. The market value after completion with the loan fully disbursed is a conservative 40% LTV.
The exit strategy is to refinance upon completion of the rehab and construction of the ADU and hold as an investment property. The cash flow generated upon completion will easily service the debt.
The Fidelis Private Fund helped the borrower obtain immediate liquidity with a free and clear property, and quickly refinance and provide funds for the remodel of an investment property.
Another transaction where Fidelis Private Fund is helping our client achieve their financial goal.
Deal FPF 10022