PMA Quickly Settled a Second Mortgage Loan for Builders Needing Working Capital
Scenario
The borrowers are experienced contract builders who have recently secured three new building projects.
This loan was provided to support their cash flow requirements, as they were experiencing delays in receiving payments from clients.
The loan was secured by a residential property located in a coastal suburb of Victoria. The property sits on a 390sqm lot and features three bedrooms, two bathrooms, and a lock-up garage.
Why PMA?
The borrowers were unable to obtain bank financing as they did not meet traditional lending criteria.
PMA Solution
PMA provided a 10 month second mortgage loan totalling $135,000 at 12.75% p.a.
Details
Loan Amount: $135,000 (Second Mortgage)
Property Value: $650,000
LVR: 70.00%
Term: : 10 months prepaid plus 2 monthly extensions
Exit
The agreed exit strategy is to repay the loan using profits from one of the upcoming projects or through the sale of the secured property.
Ready to discover how PMA can help provide finance solutions for your business (or your client's business)? Submit a scenario now and we'll get in touch (4-business hours response time guaranteed!)
