A returning client needed funds to purchase a residential lot in Bonita, CA, where he plans to build rental units. The borrower wanted to use his equity in another property as collateral to eliminate any cash required to close the transaction.
Fidelis Private Fund provided the borrower a $600,000 1st Trust Deed purchase loan. The loan was cross-collateralized with four other properties, resulting in a Combined Loan-to-Value (CLTV) ratio of approximately 35%.
The exit strategy is a refinance with a construction loan once the permits to build the rental units are received.
The Fidelis Private Fund helped the borrower by performing quickly and allowing the borrower to tap the equity in other real estate investment properties instead of putting cash down on the property purchase, which resulted in a smooth and hassle-free loan process.
Another transaction where Fidelis Private Fund is helping our clients achieve their financial goals.