Close Your Commercial Loan in 21 Days!
Small Balance Commercial Loans
Property Types- All types except Gas stations, Assisted Living, Land, Metal Stamping, or anything with Heavy Chemical Use (Dry Cleaners, etc).
Purchase, Cash Out and Rate and Term Refinance: Use this loan to capitalize on the distressed commercial real estate for sale. Distressed doesn’t mean it’s not cash flowing, especially if you buy it right!
Loan Amounts- 100k-400k call for loan amounts greater than 400k. Loan amounts up to 25mm are available.
LTV- 70% Is the maximum loan to value and is for the strongest properties and borrowers. We prefer 60-65% on most deals.
***Restaurant Max 55%
***Auto related Max 60%
*** Religious Organization Max 80%
Rates:
ARM’s will adjust quarterly and are tied to prime. Amortized over 25 yrs – Rates change daily and are currently trading 300-500 bps over prime. Fixed Rate’s are amortized over 25 years – Currently trading at 600-800 bps over prime.
Seasoning- 2 yrs is mandatory on all refinances.
Sourcing of Funds- Mandatory and important. Must be able to explain large deposits. Must make sense.
States NOT allowed- MI, OH, NV, HI, Al, AK, VT, WV
Prepay Penalty- Step Down 5, 4,3,2,1
$1500 application fee with loan application. Standard Fees Are- $750.00 Doc, $750.00 Environmental, $205 Tax Service, Title, Appraisal- Paid COD, Escrows- Taxes Only
Credit Notes- Full Recourse to sponsor. 600 + scores only. If <600 score sponsor must have a verifiable explanation of major life event to be considered for an exception. Mortgage History- 0 x 30 last 12 mos. No foreclosure. Bankruptcy will be considered if +600 score is current and borrower has a perfect mortgage history on the subject property.
Turn Time- Close less within 21 days after appraiser views the property. We work off of a verbal value from our appraisers.
