San Pedro Irrevocable Trust Loan

North Coast Financial provided a $405,000 irrevocable trust loan in San Pedro, California (Los Angeles). A trust beneficiary buyout loan was needed to borrow against trust-owned real estate and also prevent a property tax reassessment. The trust loan was made directly to the trust and secured by the real estate. The loan proceeds went directly to the trust’s bank account and were later distributed to the other beneficiaries. Once the real estate was transferred from the trust to beneficiary, the beneficiary was able to obtain a long-term traditional loan which refinanced the short-term trust loan. The loan to value was approximately 33%.