Quick flip loan program kicks into high gear

Tuesday, July 1st, 2014 at 10:10 am

Clay Sparkman
It seems that quick flips are becoming quite common again, with the regular small time investor. We are getting all kinds of requests.
As you probably know, we work with a lot of people who are doing quick flip properties/projects. That means: buying low, generally fixing up (though not always), and then selling fast, at a fair price, for a nifty profit.
Until now, we have made many such loans, and we have done so as follows: 5 points, 12-13% interest (on most loans), a one year term, and with no pre-payment penalties.
Lately we have had borrowers asking if we could offer a 6 month term with a lower up-front cost. The idea being that these folks could get in and out in six months or less—and thus save money on the cost of capital.
Well, we finally have an answer to that. We are presently offering the following program:
Six Month Quick Flip Loan

Available for quick flip loans (with or without renovation expenses involved)
6 month term
3 points
Option to extend for an additional 6 months is assured if borrower is timely on first 5 payments (paid within the grace period), and not past balloon date)
The additional extension, if exercised, will cost 3 points.
If the borrower is not timely, there may be an extension offered, but the decision as to whether or not to offer an extension is at the lender’s discretion
No prepayment penalty

We hope you like this program, and we predict that your clients will too. Let us know if we can take a look at a particular project for you.
– Clay (clay@privatemoneysource.com, 503-476-2909)
Clay is Vice President of Fairfield Financial, a primary source for private money since 1964. Fairfield is currently targeting loans in OR, WA, AK, CA, CO, ID, FL, GA, ID, MT, NV, NY, OK and TX. To submit a loan to Fairfield for consideration: http://www.privatemoneysource.com/loanproposal.php