Sherman Bridge's 80/20 Loan provides investor leverage, potential
The 80/20 Loan option is a great product for experienced investors. With this program, the rehab itself is not actually financed, this allows the investor to control the renovations without the potential delays of draw requests and avoid additional costs associated with draw inspections. The program also offers a low fixed interest only rate, and, by leaving enough capital left over to fund another flip, is ideal for investors who use cash to finance their investments.
"The moment we start to discuss the 80/20 option, the majority of customers instantly want to hear more about the program," said Loan Officer Ethan Bright. "With a rate below 10% and point split to reduce cost on the front end, plus a pay back time of six months, the product speaks for itself. By only lending on the purchase price, we are able to expedite the loan process and have you to closing in no time."
Sherman Bridge's Managing Director, Bobbe Erlinger, also emphasizes the importance of the 80/20 Loan, and assures borrowers that their team is standing by to assist them. "Our investors can confidently bid and obtain their property knowing their Loan Officer with Sherman Bridge Lending is just a phone call away, ready to run the number and get their project closed on time."
"I encourage all of my investors to use the 80/20 loan," said Loan Officer Magin Mason. "This loan allows you to leverage your money and have multiple properties working at once. The purchase price model allows borrowers to remove some of the unknowns that are associated with an ARV model loan, so we won't be held back right before closing."
Sherman Bridge stands separately from most lending companies by providing financing opportunities for investment properties, while most banks will not finance such projects. Sherman Bridge also offers state-of-the-art tools on their website, and works quickly with investors to provide financing for their investment in just seven to ten days.