100% Funding & No Equity Sharing, JV Like Loan Program

1. Lender will fund 100% of the acquisition cost of the subject property

Loans from $1M to $6M

2. Lender will fund 100% of renovation or rehab work to the subject property

3. Lender will roll into loan up to 12 months loan payments

4. On case by case basis, Lender will roll into loan due diligence fees

5. Lender charges 12% interest only on outstanding loan

6. Lender decides how much profit it will charge borrower
(ie. Purchase is $1M, FMV is $3.5M, Lender charges $500k profit)

7. Lender rolls profit into loan amount
(ie. $1M for purchase + $500k profit = $1.5M loan amount)
($1.5M + 90k payments + due diligence = Loan Total)

8. Lender charges 0 points

9. Loan term is 12 – 18 months

10. No pre payment penalty

11. Upon paying off loan, borrower keeps whatever profit remains

12. The project and exit strategy are weighted more heavily in underwriting

then Borrowers assets or credit.

13. This is a non-recourse loan unless the borrower files bankruptcy or the like.

If the project doesn’t work, the borrower gives the lender a deed in lieu of

foreclosure and walks away.