hard money lender for 10 unit property

Philadelphia, Pennsylvania
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hard money lender for 10 unit property

Peter Jin
Rental Property Investor · Philadelphia, PA · Member since 2019 · 39 posts · 33 votes

Hi, 

I am in the process of put an 10 units apt under contract. It needs some work, can't get traditional commercial real estate loan. I am wondering if any hard money lender can do this type of deal. PM me please. Thanks. 

Jin 

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Connor Hibbs
Lender · Ellington, CT · Member since 2024 · 210 posts · 103 votes
2y

Hi Peter, I should be able to help here. I'll send you a PM to get a better idea of what this may look like for you.

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  • Connor Hibbs
    Lender · Ellington, CT · Member since 2024 · 210 posts · 103 votes
    2y

    Hi Peter, I should be able to help here. I'll send you a PM to get a better idea of what this may look like for you.

    2Reply
  • Jacob Sherman
    12 Penns Trail Suite 138 Newtown, PA 18940 · Member since 2023 · 1k+ posts · 319 votes
    2y
    Quote from @Peter Jin:

    Hi, 

    I am in the process of put an 10 units apt under contract. It needs some work, can't get traditional commercial real estate loan. I am wondering if any hard money lender can do this type of deal. PM me please. Thanks. 

    Jin 


     Would love to assist ! We are a direct lender based out of Philadelphia . What is the scenario looking like ?

    0Reply
  • Trent Jones
    Lender · Sea Girt, NJ · Member since 2024 · 14 posts · 0 votes
    2y
    Quote from @Peter Jin:

    Hi, 

    I am in the process of put an 10 units apt under contract. It needs some work, can't get traditional commercial real estate loan. I am wondering if any hard money lender can do this type of deal. PM me please. Thanks. 

    Jin 


     Jin,

    I will send you a PM. I may be able to help with this scenario as we are a direct lender who specializes in real estate investment properties. 

    0Reply
  • Stuart UdisPro Member
    Attorney · Philadelphia · Member since 2018 · 2k+ posts · 3k+ votes
    2y

    @Peter Jin  Why can't you fund this through a bank? Many small and regional banks in the Philadelphia area offer construction loans that would be a fit here. The fees are lower than alternative lenders as well. The only thing to be aware of is the fact many banks would have a construction to permanent component with a pre-payment penalty. In some instances, especially when bank construction financing is at WSJ Prime +1%, the total finance charges using a bank vs. alt lender who is more expensive on origination and rate but does not include a pre-payment penalty if you were to look to refinance even out or become a lot closer. Something to certainly take into consideration, but there is no reason why you can't finance this through a bank based on the facts provided.  

    [email protected]
    0Reply
  • Peter Jin
    OP
    Rental Property Investor · Philadelphia, PA · Member since 2019 · 39 posts · 33 votes
    2y
    Quote from @Stuart Udis:

    @Peter Jin  Why can't you fund this through a bank? Many small and regional banks in the Philadelphia area offer construction loans that would be a fit here. The fees are lower than alternative lenders as well. The only thing to be aware of is the fact many banks would have a construction to permanent component with a pre-payment penalty. In some instances, especially when bank construction financing is at WSJ Prime +1%, the total finance charges using a bank vs. alt lender who is more expensive on origination and rate but does not include a pre-payment penalty if you were to look to refinance even out or become a lot closer. Something to certainly take into consideration, but there is no reason why you can't finance this through a bank based on the facts provided.  


     Thanks. I thought construction loan are for group-up construction deals. Never thought about that.  I work with PFCU and Trumark and other credit unions, they don't take the deal. Do you have local bank that you recommend? Thanks. 

    0Reply
  • Stuart UdisPro Member
    Attorney · Philadelphia · Member since 2018 · 2k+ posts · 3k+ votes
    2y

    There is construction financing for renovations as well. Usually 75-80% LTC if through a bank, and perhaps slightly higher leverage through an alt lender. You are correct PFCU does not offer construction financing. However, they along with most Credit Unions are generally good banks to house your stabilized properties because the national charter which applies to many credit unions precludes them from being able to charge a pre-payment penalty which is a huge cost saver if and when you want to refinance. Trumark now does offer construction financing. A large team moved over to Trumark from HVB following the FCCB acquisition. They are building out the platform from the ground. I am coincidentally their guinea pig client and was the first to originate a construction loan on a 4 unit mix-use building towards the beginning of the year. 

    [email protected]
    0Reply
  • Peter Jin
    OP
    Rental Property Investor · Philadelphia, PA · Member since 2019 · 39 posts · 33 votes
    2y
    Quote from @Stuart Udis:

    There is construction financing for renovations as well. Usually 75-80% LTC if through a bank, and perhaps slightly higher leverage through an alt lender. You are correct PFCU does not offer construction financing. However, they along with most Credit Unions are generally good banks to house your stabilized properties because the national charter which applies to many credit unions precludes them from being able to charge a pre-payment penalty which is a huge cost saver if and when you want to refinance. Trumark now does offer construction financing. A large team moved over to Trumark from HVB following the FCCB acquisition. They are building out the platform from the ground. I am coincidentally their guinea pig client and was the first to originate a construction loan on a 4 unit mix-use building towards the beginning of the year. 


     Good to know. I will take a look. Thanks. 

    0Reply
  • Erik EstradaBusiness Member
    Lender · Member since 2022 · 6k+ posts · 1k+ votes
    2y
    Quote from @Peter Jin:

    Hi, 

    I am in the process of put an 10 units apt under contract. It needs some work, can't get traditional commercial real estate loan. I am wondering if any hard money lender can do this type of deal. PM me please. Thanks. 

    Jin 


     Hey Peter, 

    Is this your first CRE rehab?

    [email protected]818-269-7983
    LuxePrivate Investments LLC 572 Reviews
    WebsiteView Page
    0Reply
  • Peter Jin
    OP
    Rental Property Investor · Philadelphia, PA · Member since 2019 · 39 posts · 33 votes
    2y
    Quote from @Erik Estrada:
    Quote from @Peter Jin:

    Hi, 

    I am in the process of put an 10 units apt under contract. It needs some work, can't get traditional commercial real estate loan. I am wondering if any hard money lender can do this type of deal. PM me please. Thanks. 

    Jin 


     Hey Peter, 

    Is this your first CRE rehab?


    I did some SFH and Duplex BRRRR deal. But it is my first CRE rehab deal.

    0Reply
  • Erik EstradaBusiness Member
    Lender · Member since 2022 · 6k+ posts · 1k+ votes
    2y
    Quote from @Peter Jin:
    Quote from @Erik Estrada:
    Quote from @Peter Jin:

    Hi, 

    I am in the process of put an 10 units apt under contract. It needs some work, can't get traditional commercial real estate loan. I am wondering if any hard money lender can do this type of deal. PM me please. Thanks. 

    Jin 


     Hey Peter, 

    Is this your first CRE rehab?


    I did some SFH and Duplex BRRRR deal. But it is my first CRE rehab deal.


    How many 1-4 Resi deals? For competitive bridge loan terms you will definitely need heavy resi experience, or a few CRE deals under your belt.

    [email protected]818-269-7983
    LuxePrivate Investments LLC 572 Reviews
    WebsiteView Page
    0Reply
  • Deborah Wodell
    Lender · NC · Member since 2024 · 344 posts · 115 votes
    2y

    Hey Peter!

    I'd like to help you on this. Would love to know more so I sent a message 

    0Reply
  • Bud Gaffney
    Rental Property Investor · Boston, MA · Member since 2019 · 2k+ posts · 1k+ votes
    2y

    Try a DSCR loan!

    0Reply
  • Bud Gaffney
    Rental Property Investor · Boston, MA · Member since 2019 · 2k+ posts · 1k+ votes
    2y

    @Devin Peterson has been wonderful to work with. Let him know I sent you. I bet he can get this done, or at least point you in the right direction. Good luck

    0Reply
  • Anderson S.Business Member
    Lender · Brooklyn, NY · Member since 2024 · 209 posts · 50 votes
    2y
    Quote from @Peter Jin:

    Hi, 

    I am in the process of put an 10 units apt under contract. It needs some work, can't get traditional commercial real estate loan. I am wondering if any hard money lender can do this type of deal. PM me please. Thanks. 

    Jin 


    Yes Jin, you should reach out to a hard money loan would be most appropriate for your situation. We're here and we do a ton of work in Philly. 

    [email protected]917-830-7144
    Brooklyn Funding Group59 Reviews
    WebsiteView Page
    0Reply
  • Stacy Patel
    Lender · FL · Member since 2024 · 34 posts · 10 votes
    2y

    Hi Jin,

    I specialize in private money lending and can assist with your 10-unit apartment deal. Private money is perfect for properties needing work and not qualifying for traditional loans. Please PM me with more details, and we can discuss how to proceed.

    0Reply
  • Chad Davis
    Lender · Richmond VA · Member since 2012 · 301 posts · 30 votes
    2y

    @Peter Jin Did you find a solution?

    0Reply
  • John Hidalgo
    Member since 2023 · 4 posts · 0 votes
    2y

    Same as Chad. Did you find a solution? Please let us know how its going.

    0Reply
  • Donna Rundo
    Member since 2024 · 90 posts · 5 votes
    2y

    Hi Peter! I'm a bit late to the party but if you still need a lender, I'd be happy to connect you with my partners.

    0Reply
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