{"id":703,"date":"2014-04-29T09:54:23","date_gmt":"2014-04-29T16:54:23","guid":{"rendered":"http:\/\/privatemoneysource.com\/blog\/?p=703"},"modified":"2014-04-29T09:54:23","modified_gmt":"2014-04-29T16:54:23","slug":"loan-offering-in-portland-oregon","status":"publish","type":"post","link":"https:\/\/privatemoneysource.com\/blog\/?p=703","title":{"rendered":"Loan offering in Portland, Oregon"},"content":{"rendered":"

Clay Sparkman<\/em><\/p>\n

We\u2019ve had a lot of nice solid little loans come in lately. (As you know, we have a tradition of, from time to time, presenting one of the loans that we have placed or are in the process of placing, so that blog readers can (a) see the types of loans that we are placing, (b) see how we feel that loans should be presented, and (c) be presented with potential investment opportunities.) Keep in mind that this is only the summary. If an investor expresses interest in reviewing the details of a loan, we put the prospectus on top of all of the relevant documentation and send it via e-mail in an Adobe file.<\/em><\/p>\n

This particular loan is live and we are in the process of placing it as either a fractional or a whole loan, so if you are an accredited investor looking to put a relatively small amount into a fractional loan at this time, please let us know.<\/em><\/p>\n

Kristopher Gillmore<\/p>\n

Fairfield Financial Services, Inc<\/strong><\/p>\n

16055 SW Walker Road, #247, Beaverton OR 97006<\/p>\n

Phone (503) 319-7294 \/ Fax (503) 419-4219 \/ E-mail: gillmore@privatemoneysource.com<\/a><\/p>\n

<\/span><\/strong><\/p>\n

REAL ESTATE PROSPECTUS<\/span><\/strong><\/p>\n

<\/span><\/strong><\/p>\n

SECURED LOAN<\/span><\/strong><\/p>\n

New construction of property located on SE Fir, Portland OR 97206<\/p>\n

Loan Details<\/span><\/strong><\/p>\n

    \n
  1. Loan Amount: $190,000<\/li>\n
  2. Term: 6 Months \u2013 with automatic monthly extensions (automatic extension not to exceed an additional 6 months) provided that the payments are timely and the loan is in good standing<\/li>\n
  3. Interest Rate: 12%<\/li>\n
  4. Monthly Payments: $1,900 Interest Only<\/li>\n
  5. Security:\u00a0 Deed of Trust in 1st Position security interest in real property located at xxx,\u00a0 Portland OR<\/li>\n
  6. Construction Holdback:\u00a0 $180,000<\/li>\n
  7. Projected Value by Borrower\u2019s Estimate based on CMA: $285,000<\/li>\n
  8. Projected LTV by Borrower\u2019s Estimate based on CMA:\u00a0 67%<\/li>\n<\/ol>\n

    <\/span><\/strong><\/p>\n

    Loan Overview<\/span><\/strong><\/p>\n

    yyy and \u00a0zzz are the members of aaa, LLC, and will be personally guaranteeing this loan.\u00a0 Dave Sheldon is a licensed contractor and is the owner of his own construction company, Home Resources, LLC.\u00a0 zzz is very experienced in rehabbing houses and will be doing the work himself.\u00a0 His resume has been provided.\u00a0 To summarize the relationship between yyy and zzz \u2013 yyy is the numbers\/financial guy with good credit\/income and zzz is the contractor.<\/p>\n

    The borrowers purchased a lot in March of 2014 for $55,000, and have invested approximately $49,675 into the lot to divide the lot into 2 separate buildable lots, totaling $104,675.\u00a0 A list of these costs has been provided in the full packet for your review.\u00a0 It should be noted that $30,000 of the $180,000 construction holdback is allocated for site development costs reimbursed to the borrower through the draw process.\u00a0 Overall, they have a fair amount of skin in the game on this transaction.<\/p>\n

    The borrowers have secured a different private money loan for new construction on one of those lots, and are requesting this loan through Fairfield to provide funds for new construction on the other lot.\u00a0 It is their intention to build both houses together to reduce the costs.<\/p>\n

    The borrower\u2019s intend to exit this loan with the sale of the property.<\/p>\n

    Pervious Projects with Fairfield<\/span><\/strong><\/p>\n

    This will be the Third loan that we\u2019ve done with John and yyy and zzz.<\/p>\n

    The first loan was a purchase rehab loan on a property in Salem, OR, with a construction budget of $22,000.\u00a0 All of their interest payments were on time, and the construction was completed under budget in approximately 3 months.\u00a0 The property has been sold, and the total length of the loan was approx. 8 months.\u00a0 The borrowers have posted photos of the construction by date (including the original pre-construction photos) which can be viewed at: http:\/\/s1062.photobucket.com\/user\/hisfinancing\/library\/Boulder\/Boulder26JUN2013?sort=3&page=1<\/a> .\u00a0 Note \u2013 there are other projects on here as well.\u00a0 The Boulder property was the subject for the above mentioned loan.<\/p>\n

    The Second Loan was a purchase and rehab loan on a property in Hubbard, OR with a $40,000 rehab budget.\u00a0 This loan was originated approximately 4 months ago, and the construction was also completed on budget in approximately 3 months.\u00a0 The loan is in good standing and all of the interest payments have been on time.\u00a0 Photos of the work can be seen at: http:\/\/s1062.photobucket.com\/user\/hisfinancing\/library\/3484%20Hillside%20Court?sort=3&page=1<\/a> .\u00a0 This property is currently for sale, and the listing can be viewed at:\u00a0 http:\/\/www.redfin.com\/OR\/Hubbard\/3484-Hillside-Ct-97032\/home\/26356992<\/a><\/p>\n

    Property Info \/ Valuation<\/span><\/strong><\/p>\n

    The borrower\u2019s will be building a 3 bedroom, 2.5 bathroom 2 story craftsman with a 1 car garage.\u00a0 The home will be 1,800 square feet, and on a 3,700 square foot lot.\u00a0 Plans for the property as well as a line item budget have been provided in the full packet for your review.<\/p>\n

    A CMA has been provided by the borrower\u2019s realtor, which based on an average sold $\/sf of $159, the borrower estimates a completed value of $285,000.\u00a0 This CMA has been provided in the full packet for your review.<\/p>\n

    Income<\/span><\/strong><\/p>\n

    A signed 1003 has been provided.\u00a0 Yyy \u00a0is stating a monthly income of $8,125, and a worth of $222,279. Zzz has stated an annual income of $60,000, and a net worth of $197,000<\/p>\n

    Credit<\/span><\/strong><\/p>\n

    yyy has a mid-credit score of 722, with no accounts past due, and no accounts with any late payments.<\/p>\n

    Zzz\u2019s mid-credit score was last reported (from the 1st<\/sup> loan) to be 485.\u00a0 He has reported that his credit is deteriorated because of medical expenses that he incurred in 2010.\u00a0 He has not yet been able to catch up with those bills.<\/p>\n

    Note \u2013 Initially yyy was going to guarantee this loan alone because he\u2019s the only with decent financials.\u00a0 However, I told them that it would be more beneficial to have a weak borrower on the hook as well.\u00a0 Zzz\u2019s personal financials and credit are not good, but his additional personal guarantee certainly doesn\u2019t hurt.<\/p>\n

    —<\/p>\n

    – Clay (clay@privatemoneysource.com, 503-476-2909 or 800-971-1858)<\/p>\n

    Clay is Vice President of Fairfield Financial, a primary source for private money loans since 1964.\u00a0 Fairfield works with a broad range of private money investors, in a broker capacity, finding, underwriting, presenting, closing, servicing, and when necessary, assisting in the <\/em>workout of difficult loans.<\/em> <\/em><\/p>\n","protected":false},"excerpt":{"rendered":"

    Clay Sparkman We\u2019ve had a lot of nice solid little loans come in lately. (As you know, we have a tradition of, from time to time, presenting one of the loans that we have placed or are in the process of placing, so that blog readers can (a) see the types of loans that we […]<\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_s2mail":""},"categories":[1],"tags":[],"_links":{"self":[{"href":"https:\/\/privatemoneysource.com\/blog\/index.php?rest_route=\/wp\/v2\/posts\/703"}],"collection":[{"href":"https:\/\/privatemoneysource.com\/blog\/index.php?rest_route=\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/privatemoneysource.com\/blog\/index.php?rest_route=\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/privatemoneysource.com\/blog\/index.php?rest_route=\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/privatemoneysource.com\/blog\/index.php?rest_route=%2Fwp%2Fv2%2Fcomments&post=703"}],"version-history":[{"count":0,"href":"https:\/\/privatemoneysource.com\/blog\/index.php?rest_route=\/wp\/v2\/posts\/703\/revisions"}],"wp:attachment":[{"href":"https:\/\/privatemoneysource.com\/blog\/index.php?rest_route=%2Fwp%2Fv2%2Fmedia&parent=703"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/privatemoneysource.com\/blog\/index.php?rest_route=%2Fwp%2Fv2%2Fcategories&post=703"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/privatemoneysource.com\/blog\/index.php?rest_route=%2Fwp%2Fv2%2Ftags&post=703"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}