Flip Loans / Hard Money Loans / Private Financing
I am curious to what you folks think would be your ideal financing to help you leverage a deal.
For instance
55k House 100k ARV
70% LTV on ARV
15k in Cash Remaining
Plus Money for Repair Escrow
What I am trying to structure is 6 points(sliding scale with volume) and 12% Interest only. Balloon Payment at 2% of Loan Value or six months interest in full, which ever is less.
It is designed for a 6 month run. I am planning to use it as a tool of leverage, and do 3 properties at the same time. My ROI on a deal like this is almost double the output.
Is this something you folks would advise to do for an experienced investor?