LTV to HMLs is like credit score is to ILs. Sorry if I was confusing things, but it appeared that you were shooting for a hard money loan.
If I understand correctly, you got:
500K debt + 75K to get your ARV
If you can talk a construction HML to give you 70% on a 2nd then I want to shake your hand…so you are looking at a first of 575K + costs…that’s going to put you outside the LTV box regardless of how you name it… Even if you put the 75K into it yourself, you are still going to be white knuckling it for the appraisal to meet your expectations…sounds really tight…
so how to get from here to there…
1.If you can get 80% conventional, then you don’t need HM
2. Do you have other property? Why not cross-collateralize. Pool it together. Pun intended.
3. Bring some more money into the deal to cover the funding shortfall from the HML.