Situation:

Asset Based Lending recently funded a fix and flip loan in Laconia New Hampshire. The borrower is a repeat borrower and experienced real estate investor. The property was purchased for $95,000 with a renovation budget of $63,000 and total loan funded at 84% LTC. The property is a two-unit multi-family measured at 1,756 square feet with one unit being 1-bedroom, 1-bathroom and the other unit being 2-bedroom, 1-bathroom. The borrower is considering holding the property as an income-producing asset using ABL’s rental refinance program.  First floor unit will receive gut renovation while second floor unit will receive minor cosmetic upgrades. Property will receive finished vinyl siding, power washing, and fresh coat of paint. First unit will receive new vinyl flooring, hollow core doors, new windows and insulation. Kitchen will be highlighted by builder grade cabinets, granite countertops, and stainless steel appliances. Bathroom will receive new tile tub, new vanity, new toilet, and new shower or tub depending on size. Project is expected to take four months with final sale or loan refinance occurring within two months of completion.