CASH OUT LOANS

WHAT IS A CASH OUT LOAN?

          Cash out loans are utilized when an investor has personal funds tied up in a project. The investor typically needs that cash to fund the next project, however, for various reasons they may not have access to that cash for a while. Sometimes properties sit on the market for longer than expected. The investor thought they would be able to quickly sell one property, and move onto the next. Since the first project is sitting on the market still, they can't continue to grow their business without that cash. In a cash out loan, the property is used as collateral and we lend up to 75% of the ARV of that property. Cash out loans are taken out usually at the end of the project, after the investor has already utilized their own funds to purchase and rehab the property. With investors who are always on the hunt for that next deal, the length of these loans is typically shorter since the loan won't be needed once that first property is sold and closes.

WHO USES CASH OUT LOANS?

  • Investors who have personal funds tied up in a project and need those funds to close the next deal

WHAT KIND OF DEALS CAN CASH OUT LOANS BE USED FOR?

  • Any residential or commercial projects

WHAT ARE THE TERMS OF THE LOAN?

          Typically with cash out loans, once the loan is requested, there are usually no more repairs/renovations scheduled for that property. Because of this, we lend up to 75% of the as-is condition of the property.

SUBSCRIBE VIA EMAIL

  • phone-symbol-of-an-auricular-inside-a-ci
  • sent-mail
  • Facebook - Black Circle
Screen Shot 2019-09-17 at 9.38.16 PM.png

© 2019 by Black Label Capital, LLC