Loan amount
$840,000
Loan type
Purchase
{Fix&Flip}
After Repair Value
$1,200,000
{PP:$850,000}
ARV
70%
{ARV}
Property type
Multi-Family 1-4 Units
Borrower Details
Credit score
750
Deal experience
1 deal
This loan scenario was submitted by a Broker
No
Property Details
City
Pismo Beach
State
California
Loan Details
Purchase price
$850,000
Down payment
$25,000
Cost of improvements
$15,000
Estimated property value after repairs
$1,200,000
Additional Loan Information
The property is a 2 unit MFR one block from the beach with partial views. It is owned by 3 older brothers in a family trust. They renovated the front unit (2/1), had planned to do the same to the back unit (1/1) and hold as a rental. Due to family issues they chose to sell without finishing the back unit, exterior or landscaping.
The total square footage of the 2 units is 1,512 and the lot is 5,350 with a structure on the back of the lot with 2 covered parking spaces and several large storage areas.
The work left is mainly cosmetic in the back unit; the floors are not finished and there is no shower door, also the interior color of paint they chose for both units is horrific and must be repainted (easy fix). The exterior needs steps to both unit doors, trim and low maintenance landscaping. The one element we would like to add to increase the property value is an on site laundry room where the storage units are-only if the numbers work.
The comps in Pismo Beach are $1.2 to $1.8 and they are not located as close to the beach, so $1.2 as an ARV is extremely conservative.
We are estimating a 45-60 day time frame for completion in the event there are any additional permits needed, otherwise the work could be completed in less than 30 days. Properties in this area have an average time of being on the market less than 5 days.
The total square footage of the 2 units is 1,512 and the lot is 5,350 with a structure on the back of the lot with 2 covered parking spaces and several large storage areas.
The work left is mainly cosmetic in the back unit; the floors are not finished and there is no shower door, also the interior color of paint they chose for both units is horrific and must be repainted (easy fix). The exterior needs steps to both unit doors, trim and low maintenance landscaping. The one element we would like to add to increase the property value is an on site laundry room where the storage units are-only if the numbers work.
The comps in Pismo Beach are $1.2 to $1.8 and they are not located as close to the beach, so $1.2 as an ARV is extremely conservative.
We are estimating a 45-60 day time frame for completion in the event there are any additional permits needed, otherwise the work could be completed in less than 30 days. Properties in this area have an average time of being on the market less than 5 days.
Status
Open
Created
September 26, 2021 - 2:29pm
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