A bank rejected financing for a $225,000 property needing $80,000 in repairs due to missing kitchen, broken ceiling fan, and no HVAC. Direct Funding Resource lends on the after-repair value of $410,000 instead, requiring only a detailed rehab budget and contractor info to fund the deal.
Hey Toby, I'm hoping you can help me. I found a killer deal, but the bank just pulled out on me.
Really? What happened?
House is rough. No kitchen, the ceiling fan is falling apart, no HVAC. The bank said it just, it didn't meet their minimum property standards.
So that's okay, that's all right. You know, that's pretty common. You know, most banks, lenders want turnkey. Good news is we don't. Just give me the numbers, let's talk about it, and let's see if the deal makes sense first.
Okay, so the purchase price is $225,000, rehab's going to be around $80,000, ARV comes out to about $410-ish.
Wow. And real quick, where did you get the comps from? Was this from a realtor or how did you get to that $410 number?
It's all realtor.
That deal sounds really good. Sounds really strong. I think it's something we can definitely work with. You know, the good news for you is that we lend on after repair value, not that current condition like banks do. Send me the rehab budget, send me the contractor's information so we can really underwrite it. The good news is when you come to Direct Funding Resource and do business with us, we become your partner, your mentor, your coach, not just your bank, not your lender to ensure success, profitability, so that you can continue to invest for more and more and more deals in the future.
Thank you, thank you, thank you. I thought this one was dead.
You are a lifesaver. Let's get this one done for you. All right, girl. Great. All right, talk to you soon. Okay, bye.
