The Business

This Miami-based real estate investor has built a substantial portfolio over several years, currently owning six rental properties that generate consistent monthly cash flow. The investor's primary residence sits in a desirable Miami neighborhood with significant equity built up over more than a decade of ownership and property appreciation.

The investor's strategy centers on identifying undervalued properties, renovating them, and either holding for long-term rental income or selling for profit. With six properties performing well, the investor identified an opportunity to expand: three existing rental units needed significant renovations, and two new properties had become available that fit the investment thesis perfectly.

The Challenge

The investor faced a familiar dilemma: capital was needed quickly, but traditional bank financing was slow and inflexible. Banks were quoting 45 to 60-day closing timelines, which was far too long. The investor needed capital in under two weeks to close on one of the available properties before another buyer stepped in. Additionally, the investor's primary residence already carried a first and second lien, which made financing even more complex.

Pain Points

  • Traditional banks quoting 45-60 day closing timelines
  • Needed capital within two weeks to close on available properties
  • Existing first and second liens on primary residence
  • Wanted $400K for renovations and down payments on new properties

The Mondra Capital Approach

Rather than accepting the traditional 45-60 day timeline, we identified a specialized HELOC program that specifically allows third lien positions on primary residences. Most mainstream banks won't even consider third liens, but there's an active market for these products among lenders who focus on real estate professionals and experienced investors.

The program we found allowed up to 85% combined loan-to-value (CLTV), meaning the investor could access capital based purely on home equity without needing income verification. The underwriting was straightforward: the lender reviewed the property value, subtracted the existing first and second liens, calculated remaining equity, and approved a revolving line of credit against that equity. The entire process from application to funding took just five business days.

"I didn't think a third-lien HELOC was even possible. Mondra knew a program I'd never heard of and we closed in under a week." Real Estate Investor, Miami FL

The Outcome

Results Achieved

  • $400K HELOC approved and funded in 5 business days
  • Used $180K for down payment on new rental property acquisition
  • Deployed $120K for renovations on 3 existing rental units
  • Portfolio cash flow increased by $3,200/month after renovations
  • Maintained flexibility with revolving credit for future opportunities

The speed and flexibility of the HELOC solution proved ideal for the investor's strategy. With capital in hand within a week, the investor closed on one of the available properties and immediately began planning renovations on the existing units. The renovations took place over the following two months, and by month three, the renovated units were leasing at higher rents. The net impact was an additional $3,200 per month in portfolio cash flow, with the remaining HELOC balance available as a revolving reserve for future acquisitions or unexpected capital needs.

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