Quote from HML for Philadelphia property

[Robert Guilfoyle]

I submitted a request for quote online this evening to one of the HML's recommended by BP. I submitted for a property in the Point Breeze section of Philadelphia.

Purchase Price    $120,000

Estimate Rehab:  $40,000

Estimated ARV: $250,000 (may be a little high)

I got a quote back of 12% and 2.99% points.

They quoted they would pay 75% of the PP and 75% of the rehab. I am speaking with the loan officer Tuesday afternoon. Now this is my first time using an HML.

Is this typical for first time HML investors? I always thought they covered 90-100% of rehab?

Any thoughts or advice would be greatly appreciated.

Thanks in advance.

[Ronald Overholt]

Robert,

I have a West Coast Lender who will typically do 90% of PP and 100% of the renovation cost. That will vary with a number of variables used by the lender based on your initial details. I am traveling this week-end and will be back in my office on Monday and forward the contact details.

Regards,

Ron Overholt, Philadelphia, PA