Situation:

Asset Based Lending recently funded a hard money fix and flip loan in Long Branch NJ for a repeat borrower with previous real estate investing experience. The property was purchased for $270,000 with a renovation budget of $103,000 with a total loan funded at 89% LTC. After rehab is complete, the investor plans to refinance the property using ABL’s rental loan financing to keep the property as an income producing asset. This multi-family property is split into two units: unit one is a 4-bedroom, 2-bath and unit two is a 1-bedroom, 1-bath for a combined total square footage of 2,211. Renovations will be focused on the interior with unit one’s kitchen undergoing gut renovations, both units receiving new bathrooms, and HVAC systems being installed for each unit. Bathroom renovations will include new vanity, new bathtub, new sink, and new tiling. Unit one will receive new tile floors in the dining room while unit two will receive new hardwood floors throughout the unit.