|Underlying Asset||Single Family|
|Underlying Security||1st Position|
Fund That Flip closed the loan on this property on August 21, 2020. Your investment will begin accruing interest on the day it clears escrow.
Fund That Flip has provided a first distribution of $64,609 to the developer at closing for a loan to purchase of 80.8%. Fund That Flip is holding back $2,301 for 3 months of pre-paid interest.
The construction budget is $17,500. Fund That Flip will finance $11,950 of the total construction budget. Fund That Flip disburses construction funds based on verification of work performed, as determined by an independent 3rd party inspection firm. Fund That Flip reviews each inspection report and releases funds based on the percentage of completion of the project. Fund That Flip expects to make 2 construction draws, but may schedule additional inspections as needed. The final draw will be released after all work is verified to be complete. Once construction is complete, the developer plans to rent and refinance the property.
Over the course of the project, the developer will contribute an estimated $26,381 in equity, including an estimated $15,391 at the time of closing. The total loan-to-ARV is 58.6%. There is a 3 month pre-payment penalty, meaning investors will earn interest through November 21, 2020, even if paid back earlier. The term of the underlying loan is 6 months with an option to extend. Should Fund That Flip choose to grant the extension(s), half of the extension fee(s) collected will be distributed to investors upon receipt.