Case
John was under contract to purchase an after school tutoring center. He had originally planned on selling some of his single stocks from his investment account to pay for the purchase. However, most of his stocks have lost 15% or more in value since he went under contract. For financing to make sense for John, he is looking for a fixed rate term loan to hedge against the rising interest rate environment.
Solution
PLC received the referral from a mortgage banker and quickly worked with John to identify the loan structure and pricing acceptable for him. John was able to quickly provide a full financial package and PLC was able to work with a local lender to secure a 3 year fixed loan in the mid 4% range, using his stocks as the underlying collateral. Lender was able to offer 75% LTV and overcame the risk that all of the pledged stocks were concentrated with 3 companies, all in the high-tech industry. Furthermore, PLC was able to communicate directly with the lender and free up John’s valuable time to focus on his full time job as a software engineer manager.
