All of our CASE STUDIES, like this Houston, TX, new construction case study, in the amount of $610,496, showcase the real estate investment loans we have done for our clients. They give you real-life details about how other investors used our loan products to build their portfolios! From fix and flip and fix to rent loans to new construction, multifamily and rental loans, we do them all!
CASE STUDY OVERVIEW: New Construction: Houston, TX: $610,496
Location: Houston, TX
Loan Amount: $610,496
iFC Loan Product: New Construction
Property Type: Duplex
Loan Closing Date: 05/08/2024
Purchase Price: $170,000
Construction Budget: $578,231
ARV: $950,000
Loan to cost: 85%
Exit Strategy: Sell
Length of Loan: 12 months
CASE STUDY DETAILS: New Construction: Houston, TX: $610,496
This new construction repeat borrower in Houston, Texas, has been developing real estate in Houston for the past five years. The builder has built spec homes to rent, spec homes to sell, custom builds, and client investment properties, in some of Houston’s fastest growing neighborhoods.
The borrower had taken a loan for the acquisition of this lot and had already begun construction. However, they were paying dutch interest on their current loan’s funds. (“Dutch” interest is when a lender charges interest on the full loan amount, which can include construction holdbacks that have yet to be dispersed to the borrower.) The borrower needed funding for the vertical construction aspect of their project along with funding to pay off their acquisition loan.
HOW WE HELPED
iFC was able to provide the builder with a new construction loan for this duplex that both paid off the prior lender AND funded 100% of the remaining construction on the project.
By using i Fund Cities, the builder was able to act quickly on a new loan. In addition, the borrower gained a lender with an understanding of their unique needs with the ability to offer them a custom approach to their loan.
CUSTOMER FEEDBACK
“Thank you, Jack, and iFC team,” said this successful borrower!
CAN WE HELP YOU FUND YOUR NEXT NEW CONSTRUCTION REAL ESTATE INVESTMENT?