Hard Money Loan Knoxville TN

[Christopher Davis]

Investment Info:

Single-family residence private money loan investment.

Purchase price: $70,000
Cash invested: $158,025
Sale price: $252,000

We loaned 100% of purchase (70k) and up to 100k in construction. Borrower only used 88,025. Solid borrower and I have several other loans outstanding with him.

What made you interested in investing in this type of deal?

The property was so-so. The borrower and I differed on the ARV but he had plenty of cash reserves so I loaned more aggressively.

How did you find this deal and how did you negotiate it?

Referral from another borrower

How did you finance this deal?

All of our money comes from our Family Office based in Knoxville

How did you add value to the deal?

We funded the purchase and construction.

What was the outcome?

Borrower sold and made a great profit

Lessons learned? Challenges?

I was spot on with my ARV. Borrower said 285. I thought 250k becau

se I expected further market deterioration.

Did you work with any real estate professionals (agents, lenders, etc.) that you'd recommend to others?

Derek Maples was the agent and he is really good in Knoxville.