Borrower owned an older outdated house in an upscale neighborhood in Granite Bay, CA.
This neighborhood is in an area that is known for its highly rated schools and great outdoor lifestyle. Borrower wanted to get a construction loan or HELOC to do a remodel, but borrower’s credit and self-employment status made it tough, and the bank simply moved too slow, so the borrowers were looking for other options.

The budget for the remodel was $75,000. Borrowers only needed the money for a short term to remodel the house as they planned to sell the house after the work was completed.
After speaking with WE Direct Lending, INC. borrower learned that he could use the equity in his home and with an interest only monthly payment plan, his loan payments were low enough to afford the costs while house was under remodel. The loan was funded within 10 business days as an interest only loan for a term of 12 months at a cost of 2 points and a 8.5% rate of interest ($531.25 a month) and the remodel began.

Homeowner did a complete top to bottom remodel and the house looked perfect. Borrower put the house on the market and had 25 showing in the first three days on the market, received 3 offers and house was sold well above asking price and closed in 30 days. House in current condition would have sold for around $600,000 and likely would have taken at least a few months to sell. Borrower put $75,000 into remodel and house sold for $765,000.The entire process from application to completion of the remodel and then closing of sale was all completed in less than 90 days.

As a result, net of costs, the borrower made an extra $85,000 by remodeling the house before selling it.

Private money allowed the borrower to move quickly, keep monthly payments low during the remodel with no early payoff penalties after 3 months. Give us a call or email to discuss your loan options today.