There are 50 investment property private money lenders offering loans in Clarks Summit, PA. The mean note amount is $295,938. The mean rate for hard money loans in Clarks Summit is 11.1%. 14 months is the mean term for loans offered in the city. A typical hard money loan made in the city includes a 3.3 point origination fee. The mean LTV offered for loans in Clarks Summit is 71%.
Elnora decides to acquire a rental house in Clarks Summit, PA that is listed for $350,000. Because she is short on cash for the transaction and is not able to obtain a bank loan, she obtains a private money loan from Credence Lending Corporation . Since there is a 80% loan to value (LTV) contracted to by the two parties, Elnora will have to put down the other 20% with her own cash. According to the terms of the loan, the note will be for 5 years at a 11% rate of interest. An origination fee of 1 points will need to be paid when the deal closes and Elnora will have to make interest-only payments with a balloon payment of the principle amount due when the loan expires. Given this deal, Elnora will be required to put $70,000 of her own money in the deal along with the $2,800 origination fee (1% x $280,000 principle loan). She will then need to make interest payments of $2,567 per month.
Tracy decides to purchase an investment property in Clarks Summit, PA for $190,000 using a private money loan from Oak Hill Lending Group . The lender agrees to loan Tracy 50% of the value of the investment property (LTV), so he will have to fund the remaining 50%. Additionally, they stipulate a 1 year, interest only loan at a 13% rate of interest, with a 1% origination fee charged at closing. Given this scenario, Tracy will be required to fund $95,000 of his own cash in the deal in addition to the $950 origination fee (1% x $95,000 principle amount). He will then have to make interest payments of $1,029 per month.