$460,000 Refinance in Bethel Island, CA
Non-Owner Occupied Loan Fuels New Waterfront Business on Bethel Island
Loan Amount: $460,000
Loan Term: 24 Months
LTV: Under 60%
Lien Position: 1st Deed of Trust
Rubicon Mortgage Fund, LLC recently closed a $460,000 cash out loan on a single-family residence in Bethel Island, California. While the property is residential in nature, it is a non-owner occupied investment and will soon become the centerpiece of a brand-new waterfront business.
From All-Cash Purchase to Business Expansion
The borrowers initially purchased the property outright, paying all cash. Their vision for the site goes beyond simple ownership, they are transforming it into a boat rental business to serve the growing recreational community in the area.
The property itself is 2,407 square feet on a 4,835 square foot waterfront lot. With resort-style surroundings, a country club atmosphere, and an active boating culture, Bethel Island is attracting attention as one of the regionâs up-and-coming destinations. The borrowers are currently making improvements, such as repairing and enhancing the outer deck, to prepare for the launch of the business.
Why a Non-Owner Occupied Loan Was the Right Fit
Since the property will not serve as the borrowersâ personal residence, it falls under the category of a non-owner occupied property. This type of loan is often used by real estate investors and entrepreneurs to acquire, renovate, or expand properties that generate income.
In this case, the borrowers needed capital to complete renovations and cover start-up costs for their new waterfront venture. By securing a cash out loan, they could access the equity in the property they had purchased outright without needing to sell or take on additional investors.
Lending to a Trust
An interesting element of this transaction is that the borrowers hold the property in a trust. Many lenders have limitations or restrictions when lending to trusts, but Rubicon Mortgage Fund, LLC has the flexibility to accommodate this structure. This adaptability allowed the borrowers to keep their preferred ownership arrangement while still gaining access to the funds they needed.
Strong Borrowers and a Clear Exit Strategy
The borrowers are financially strong and have a clear plan for repayment. Once the property is fully renovated and the boat rental business is operational, they plan to refinance with a conventional lender. This is a common path for non-owner occupied loans, where private financing bridges the gap until the property is stabilized and generating income.
A Prime Location for a Waterfront Business
Bethel Island offers a unique blend of small-town charm and resort-style living. The waterfront propertyâs location gives it direct access to boating channels, and its size and layout make it ideal for recreational use. The combination of a scenic environment and a growing community provides an excellent foundation for the borrowersâ new business.
If you own a non-owner occupied property and are looking for financing to launch or expand your business, Rubicon Mortgage Fund can help you turn equity into opportunity.
Supporting Business Growth Through Private Lending
Private lending plays a crucial role in situations where timing, property type, or ownership structure may not align with traditional bank requirements. Rubicon Mortgage Fund specializes in asset-based lending, evaluating the propertyâs value and the borrowerâs plan rather than relying solely on conventional underwriting standards.
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Whether you are investing in a rental property, expanding a business, or making improvements to a non-owner occupied asset, we can provide the capital you need to move forward.
Rubicon Mortgage Fund, LLC is proud to help entrepreneurs bring their visions to life. This Bethel Island project is a perfect example of how flexible, fast, and creative lending solutions can fuel both real estate investment and business growth.
Contact Rubicon Mortgage Fund today to discuss your non-owner occupied financing needs and learn how we can help you close with confidence.
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