A repeat client who is a general contractor here in San Diego owned a single-family investment property in Mammoth Lakes, CA, and wanted to do a significant remodel, doubling the rentable square footage into a 2,600 sq.ft., 4BR/3.5BA property.
However, he wanted a lender that would allow him to keep the $350,000 low-interest-rate 1st trust deed loan in place through the remodeling process.
With the existing strong relationship and financial position, and Fidelis’s ability to be creative, we structured a rehab loan to accommodate the borrower’s request and provide the funds needed for the complete remodel.
Fidelis Private Fund provided the borrower with a $600,000 2nd Trust Deed refinance rehab loan that included the funds to complete the remodel, resulting in an “at completion value” of $1,600,000 value or 59% LTV ratio including all the debt.
The exit strategy is to refinance with a conventional lender.
The Fidelis Private Fund helped the borrower reduce his carrying costs through the remodel by keeping the low-interest 1st in place while getting the funds needed to renovate, substantially increasing the value. At the same time, making it a smooth and hassle-free loan process.
Another transaction where Fidelis Private Fund is helping our clients achieve their financial goals.