Private lending @ 10% in Oakland, CA - good or bad deal?

[Tim M.]

Hello BP- I'm a first-time investor in Oakland, CA. I'm in contract on a duplex that I plan to owner occupy. The building is in extreme disrepair and needs extensive work, foundation, full remodels on both units, new plumbing, electrical, roof, and sewer lateral. A conventional lender is not an option because they wouldn't appraise the property without ordering termite inspections. I have an option for private money bridge loan 80/20 LTV @ 10%. This will allow me to purchase the building, do the remodel and refi ASAP. I have strong credit and W2 to support a loan. Does this sound like a reasonable deal? Thanks!

[James Masotti]

@Tim M. - 10% is what I offer my private lenders. So that seems pretty reasonable to me.