Is this a good hard money loan?

[Tequila Lamar]

Hello! I received the follow terms for a hard money loan. Is this a good deal?

It's for a full rehab of a duplex. 3 beds and 1 bath in each unit. $400,000 ARV.

Total Loan Commitment: $295,000 

Interest Rate: 11 %
Initial Funding: $15,000 

Origination/Loan Fee: 4.5 %
Rehab Holdback: $280,000 Rate 

Buydown Fee: NA %
Other Holdback: NA 

Buydown Interest Rate NA %
Max LTC – As Is 75 % 

Loan Term (Mos.): 12
Max LTC – As Repaired NA % 

Extension Term (Mos.): NA
Max LTV – As Is: 75 %

Extension Fee: NA%
Max LTV – As Repaired: 70 %

Prepayment Fees: none
Min DSCR (Rental Loan): NA

Exit Fee: none
Total Cash Investment: $18,463 

Breakup Fee: none
Required Liquid Assets: $20,000 

Recourse Type: full
Monthly Debt Service: $2,704.16 

Thanks in advance for reviewing!

-T

[Jacob St. Martin]

So just to clarify, is the $15,000 your down payment? If so I have a couple thoughts. 

Rate: 11% is pretty standard right now and actually not too bad

Origination Fee: This is kind of absurd. The highest I have ever seen in 3 points. 

Down Payment: if you are only paying 15k out of pocket this is pretty good and that is probably why you are paying so many points. 

Overall: My philosophy is that any loan that you can cover and gets you into a great deal is worth it. Whether or not this loan is good or depends on how strong the deal is. That being said I would probably shop around a little more because there fees are very high. If you are a newbie that could also explain the high fees. Maybe consider bringing on someone with more experience in order to get better terms?