First time hard money loan. Thoughts on proposal

[Anthony Brancato]

This is the first time I will be using a hard money loan lender. I was hoping to get some thoughts on the proposal i received. Thank you! I’ve attached the ​​ loan proposal for you with a summary of the numbers below: purchase price: $ ​100,0 00 rehab amount: $ ​70,000 est. value(ARV): $ ​230,000 ​ (min value req'd for rehab budgeted) loan amount: $ ​153 ,000 monthly interest @ 12.99%: $1, ​656 down payment: $1 ​7 ,000 fees at closing est: $ ​11,3 00 (see proposal for details) escrows est: $ ​3 ,700 Est. cash to close: $ ​32,0 00 ​The closing costs and escrows can't be rolled into the loan so the est. $32,000 has to be paid out of pocket at closing, however the seller can contribute towards some/all of the closing costs. To approve the loan we will need to verify that you have $45,000 in total cash reserves, this is to insure you have at least 6 months of payments left in your account after closing. We do not defer the payments. In order to provide you with a proof of funds letter I just need the name of your business/LLC that will be purchasing the property. Thanks!​