Let us do all the work, you just sit back and collect!
For each loan rehab project being done I need:1.Description of subject target property (number of bedrooms, bathroom, square footage, etc.)
2.Fully Executed purchase contract with all addendums signed both all parties
3.Detailed list of improvements with associated cost (basically scope of work)
4.Borrower's estimated value of subject property
5.(4) Four Sales Comparables indicating value of subject property when improvements are complete
1.This program is 100% financing of the purchase, cost of improvements and soft costs; lending up to 70% of the completed value of the project. Completed value of the property will be determined by analysis of sales comparables and/or an appraisal.
2.Loan shall be exclusively used to acquire, make improvements to subject property and to finance soft costs. Subject property must be 1-4 family non-owner occupied.
3. Minimum interest rate is 9.5%. Fees 5.0%- 10% of the loan amount.(9) nine month term
4. A Documentation Fee of up to $450.00 will be charged for each project. * Monthly interest-only payments. Principal due at maturity. There is no prepayment penalty.
5. Title Insurance, Builder's Risk Insurance and Survey are required. Draws are dispersed to the borrower based upon an approved draw schedule. Each draw will require an inspection. The inspection fee is rolled into the total loan amount. Borrower The borrower may be an individual, LLC, C-Corp, S-Corp., partnership or trust.
6. Personal guarantees for all owners will be required. Spousal guarantee is required.
7. Additional Collateral Credit History A minimum middle credit score of 680 for all applicants. Completed Value Four sales comparables that are similar to the subject property in terms of size, future condition, bedrooms, bathrooms, amenities, etc. will be required. Comparables must be within a maximum of 1 mile of the subject property and less than six months old, unless otherwise approved. The appraisal will be ordered by Lender.
8.The cost of the appraisal is the financial responsibility of the borrower. Property All properties subject to prefunding inspection. * All fees rolled into total loan amount. Terms and conditions are subject to change according to economic and market conditions.
****You must have a 680 or better credit score for purchases only *********Loan amount $50k-$500k they can do up to $650k with exceptions***
****Closing (2) two weeks after all documents and paperwork is received****
****Multiple rehabs are allowed*****
****You must show you had 10% of the loan amount in cash reserves****
I have another hard money private lender who also can do 100% purchase and rehab.
***They need a minimum credit score of (700) ****
The first deal the client must pay for all the points and closing cost as skin in the game.
Rate between 13%-15% I/O
Minimum LOAN amount $100k-$500k
$325 Application Fee
$500 Doc prep fee (per deal)
Must have a very strong exit strategy
No prepayment penalties
Fees 5%-10%
***Advantages in-house approvals process 24 hours they can close within 5-7 days***
.***They are the check writers they are the direct lenders****
***If the deal makes sense, the credit is good and some skin in the game they can fund in all 50 states**
Items needed for this lender are:
1. Filled out 1003
2.A recent copy of a credit report to show 700 or better credit score
3.Photos of the interior and exterior of the subject property
4. CMA or additional comps
Let me know what you think??