Is higher leverage on a transaction worth it?

When applying for a loan there are many things to consider, one of which is the loan to value.  Some lenders will lend up to 60% of the LTV/LTC on a transaction while others may lend up to 70%. With a higher leverage point often comes a higher interest rate and usually a higher fee. In this video, we compare the difference in annual interest rates for a 60% and a 70% LTV/LTC loan. We also discuss how much clients may end up paying for that additional 10% of leverage.

For more information on funding a transaction in California, please call our office at 925-283-8919.