Pacific Private Money recently funded a 365K, 34% loan to combined value, purchase with cross collateral of a 2nd property.The purchased property is a 3 bedroom, 3.5 bathroom SFR with a purchase price of 355K, but has a value of 475K. The cross collateralized property is located in Richmond and is valued at 370K and owned free & clear.
The primary borrower has been self-employed as a professional investor for 24 years and has over 30 properties with 20 that are free and clear. Due to the amount of real estate owned, the borrower did not qualify for conventional financing.
Pacific Private Money sourced private equity and was able to fund this cross collateralized purchase. The exit strategy is to conventionally refinance or sell the purchased property.