All Forum Posts by: Keith Anderson

Hey Derek, 

Just one program I have for MHPs.

• Drexel Commercial Bank Alt #1
• - Loan Amounts: $100,000- $2,000,000
  - Loan Amounts of $2-$5 million, over 2 million are considered on a case by case scenario.
• - Property Types: Multi-Family, Mixed-Use, Retail, Office, Warehouse, Self-Storage, and Auto Service (no gas stations or underground gas tanks). Case by case a Mobile Home Park. If I didn’t list the property type here we are probably not lending on it. The only grey area I have is if a bar/restaurant is a tenant in a mixed use building or strip mall, we can possibly do those.
• - The property types this program does not lend on at all: Hotel/Motel, Day Care’s, Adult Living Facilities, Boarding Houses, Funeral Homes, Stand Alone Bars and Restaurants, Gas Stations, Car Wash, Land, anything Agricultural, Manufacturing, Schools, etc.
• - No Gas stations, Day Cares, Restaurants.
• - Loan Purpose: Purchase| Refinance| Refinance Cash Out
  - Initial Fixed Rates: 3 & 5 year options
• - After the fixed period of the loan, the 3 or 5 year option, interest rate adjusts to: It is wall-street prime which is currently 3.25% plus the margin of 4%. So in 3 years if WSP is the same the rate would be 7.25% (3.25% plus 4%). One thing to keep in mind is the start rate is the floor. If the start rate is 7.99% the rate will never go below that.
  - Term: 30 years fully amortized
  - Rates: 7.49-9.99%
  - Loan to Value: 75% on Multi Family and Mixed Use, All other property types 65%
• If borrow wants an all cash out refi lender minuses 5% from LTV, if borrower is also a new borrower (this is there first real estate deal, lender also minuses 5% from LTV).
  - Minimum Fico: 650- strict!
• - Program allows a seller assist on the down payment of a purchase which will total 3% of the total loan amount.
• - Program allows a seller second to carry up to 80% CLTV.
  - Unlimited Cash-out (remember if all cash our refi on free and clear, 5% is taken off of max LTV.)
• - Can blanket some commercial properties if they are right next to each other, case by case scenario.
• - Deposit for appraisal is around 3K.
• - Closing costs around $2,300; wrapped into loan amount.
• - An environmental is required for all properties, which costs from $1,500-$2,200; wrapped into loan amount.
  - Prepayment Penalty: 5% of the total loan amount, only when loan is in the fixed rate period.
• - Multifamily and Mixed Use properties with a loan amount of over $750,000 may possibly be offered a better rate on a case by case scenario.
  - Population requirement: City must have a population of 25,000 OR be within 25 miles of a city with a population of 100,000.

- Program offered nationwide…Exceptions: TN, North and South Dakota, and New Hampshire, IL, MI

Tim,

Stephanie Skidmore with Hartman Simons goes to my church. here is a link for her info. If she can't help you she can refer you. 

http://www.hartmansimons.com/attorneys/stephanie-skidmore/

First American Title is a huge national  company who work with almost every lender in the country.

There are many bank and  non traditional bank lenders who will refi a short term purchase and rehab loan with a permanent vehicle. You may have a hard time finding one who will lend you more than you owe until a period of seasoning has passed.

Hey Liviu, 

I am in the Sandy Springs area and have been for 25 years! Wish I had been doing this way back then!

Keith

I know a great 100% Fix and Flip Program  in S.C. It is a tough qualifier with strict 680 mid FICO scores for all involved. Full recourse and spousal guarantee if applicable. Let me know if you would like details.

Keith

After seeing what happened to lending post 2008, I would finance whatever you can at the best rate with the least out of pocket expense. Cash in your control (pocket) is King... ALWAYS!

$1400 can do some things here and now. $30/month is Starbucks once or twice a week!

You are now a commercial borrower not a residential one. You can amortize most loans for 25-30 years, but not very many of those will offer fixed rates for the amortization period. Most fixed periods are 3,5,7,10. 

Hi Mark, 

If you haven't found anything let me know. I know a couple of bank alt lenders with pretty decent rates and 25k minimum population requirements who lend on 5+ units in Montana.

Keith