Rossmoor, California – Our Client/Borrower, was looking to obtain a new $375,000.00 1st Trust Deed Loan on the “5” Unit Apartment building that he purchased for $205,000.00 back in 1996.
The borrower currently has several Deeds of Trust recorded against the Subject Property and which will be paid off in full from the proceeds from the proposed $375,000.0 1st Trust Deed Loan. Rossmoor, California.
Our client owns and operates “3” Bars/Restaurants that are located in the City of Los Angeles, and due to the Covid-19 Pandemic and the accompanying Governmental Orders that compelled Mr. Leal to close his businesses, he has experienced substantial Business losses.
The requested “Cash Out” funds will be directly invested by the borrower in his “3” Bars/Restaurants to provide Working Capital and Operating Funds in anticipation of the City of Los Angeles, County of Los Angeles and the State of California issuing Authorizations that will allow Mr. Leal to legally re-open his “3” Bars/Restaurants.
As soon as he is allowed to re-open his Businesses, he will be able to again realize Business Income and the resulting Business Profits that he was earning prior to the Covid-19 Shutdown. Rossmoor, California.
The borrower also intends to invest approximately $10,000.00 to $15,000.00 in the Subject Property to make necessary deferred maintenance repairs.
All units are “1” Bedroom/ “1” Bath. The current combined Monthly Rental Income is: $4,290.00.
We believe that the Proposed $375,000.00 1st Trust Deed Loan has many strong points. The LTV for the loan is ONLY 46%. The Subject Property generates sufficient income to pay all monthly expenses. The Subject Property is in a mature and solid rental neighborhood. The Subject Property will undergo upgrades and repairs. The Trust Deed Investment has a good rate of return with very little risk in Rossmoor, California.