South Dakota Investment Property Loans
South Dakota has 0 investment property private money lenders serving the state. The median amount loaned in this state is $469,144. The median rate for hard money loans in South Dakota is 10.6%. The typical loan issued in the state is 57 months in length. The average note includes a 2.9 point origination cost. Lenders typically offer a 75% loan-to-value (LTV) on loans in South Dakota.
Loan Example 1
Frankie wants to acquire an investment property in Rapid City, SD for $210,000 with a private money loan from Fair View Lending Corporation . Since there is a 80% loan to value (LTV) contracted to by the lender and borrower, Frankie will have to put down the remaining 20% with her own money. The loan also lays out a 2 year note with interest-only payments at 13%, and a 5% origination fee. According to this scenario, Frankie will be required to fund $42,000 of her own funds into the deal in addition to the $8,400 origination fee (5% x $168,000 principle loan). She will then be required to pay $1,820 per month in interest.
Loan Example 2
Tom decides to acquire a rental house in Rapid City, SD for $250,000 using a hard money loan from Axis Funding Corporation . The lender loans Tom 85% of the list price of the house (LTV), so he will be required to pay the other 15%. The additional guidelines of the loan are as follows: 1) a 5 year, interest-only note, 2) a 13% rate of interest, and 3) a 2 point origination fee charged at closing. According to the terms of the loan, Tom 's payments will be $2,302 monthly. He will also be required to fund $37,500 in cash at the closing along with the $4,250 origination fee. Upon expiration of the loan, he will have to pay the $212,500 principle in a balloon payment.