All Forum Posts by: Marty Johnston

@Quincy P., PM sent! 

@Raphael Chadli,
Would be happy to take a closer look. We can let you know within 24-48 hrs what kind of rates and terms we can offer you. Is this property already stabilized and producing income? Sending you a PM as well.

Marty J - [email protected] 

-Are you claiming losses on your tax returns and therefore cannot prove to the bank you can debt service your loan?
-Are you not claiming all the cash your business makes and again cannot prove to the bank you can debt service your loan?
-Are you self employed?
-Do you have a tax lien against your property?
-Do you have IRS issues you need to settle?
-Do you want cash out on your property to go buy other properties?
-Do you need to close in 30 days or less?
-Tired of the long drawn out banking process and all the documents that are required to close?

...THEN TRY A BANK ALTERNATE / STATED LOAN!
Fico: 650 mid socre+
Loan Terms: 30 years AM. 3 & 8 yr. fixed options
Loan Size: $100K to $5 Million
Max LTV: 75% Multi-family & mixed-use, 70% for all other property types. 75% LTV also for 1-4 unit investment properties.
Debt Service Ratio: 1.25. No DSCR analysis for loans under 500k!
Interest Rate: Multifamily, Mixed use & 1-4 units= 7.49%-8.50%. Other property types= 7.99%-9.25%
Property Types: Multifamily (5+ units), mixed-use, office, retail, warehouse, self-storage, auto-service (no old gas stations or underground storage tanks). 1-4 unit investment properties!
Pre-Payment Penalty: 5% for fixed period.
Use of Funds: Purchase, Refinance, Cash-Out Refinance
Asset verification: 1 month of bank statements to prove borrower can close.
Special: NO TAX RETURNS REQUIRED, All cash out available!
Required Loan Docs: Executive Summary, Current rent roll, Copies of all leases, 1003, Past two years operating statements & current year-end operating statements, Pictures of property, Tri-merge credit report.4

Contact me for more details at [email protected]  /  920-285-8900

David,
What kind of rates are you looking for? And are these acquisitions already stabilized and being used in this business? Are you looking to go straight into a permanent financing loan or a short term acquisition to then refinance (I assume this is dependent on the first question).

We work with a lender who lends on Vacation Rentals like this and they lend in FL, but would like to learn more about the expectations before proceeding.

Thank you, David.

Marty [email protected]

@Tim Swierczek, It is acceptable that the borrower has Refinanced and held as a rental property. They just want to see two completed Rehabs successfully.

If interested, feel free to shoot me an e-mail at [email protected] and I can send over some more details to review.

Thanks, Tim!

Hello All!

As the header suggests, we have a great new program available from a lender we work with. Please see details and contact me with any inquiries, questions, or deals needing funding!

Up to 100% Rehab Financing!

Fico: 600+ for 25% down of ‘as is value' and max 70% LTV of ARV. 650+ for 100% financing rehab program. Borrower cannot have a recent BK or a foreclosure.
Loan Terms: 1 day to 12 months, longer terms available on a case-by-case basis.
Loan Size: $100,000-$750, I000 for the 100% program, and up to $2 million for the 25% down program. Over $2 million is a possibility on a case-by-case basis.
Max LTV/ARV: Lender will generally finance 75% of the purchase price, loan capped at 70% of the ARV. Lender also offers a 100% financing program, which is capped at 70% ARV as well. Broker fee, lender fee, title insurance and property insurance can be wrapped into the 100% program as long as the total loan amount does not exceed 70% of the ARV of the property!
Interest Rate: 9-14% depending on borrower’s experience, fico, number of deals they do and the leverage the borrower is requesting. Lender offers 4 different programs. The 100% financing product ranges from 12-14% with 3 lender points. The 75% LTV rehab program starts at 10% and comes with 2 lender points.
Property Types: 1-4 unit investment properties! This includes Single Family Homes, 2-units, 3-units, 4-units, condos and town homes, though HOAs are not preferred.
Pre-Payment Penalty: None!
Use of Funds: Purchase & Rehab, Refinance and Rehab, Ground up construction on a case-by-case basis.
Points: 2-3 Lender Points, depending on program. Lender also has a $995 document fee. All fees are paid at closing. Only the appraisal is paid for upfront.
Lending Territory: Oklahoma, Colorado, Ohio, Washington DC, Maryland, Virginia, Indiana, Minnesota, Missouri, Florida, Georgia, Illinois.
Closing Time Frame: 2-3 weeks for initial borrowers, much faster for repeat borrowers, only limited by how quickly the ‘subject to’ appraisal can be done.
Experience Requirement: Borrower must have bought, rehabbed and exited at least two deals in the past 24 months (verified by HUDs and Scopes being submitted). Borrower must have recent ground up construction experience in past 24 months to receive a ground up construction loan.

Asset Verification: Last 2 months of bank statements and last year of tax return.

Liquidity Requirement: Borrower must show solid reserves on hand for the 100% financing product, there is no exact reserve requirement for the 3 other programs they offer.

Construction draws: Released to borrower upon successful work completion, requires on-site inspection, $150 avg. draw fee.

Special: Borrower must close in a business entity. Lender does background checks on all borrowers. Lender is currently not working with foreign nationals, but would discuss on a case-by-case basis. For the 100% Rehab program, the lender does an up-front draw at close! Again, borrower must have liquidity to qualify for that program! The 100% Rehab program may require that the borrower reserves 6 months of interest only payments, depending on financial strength.

Extra: Lender must be 1st position and will not allow a 2nd position lender behind them! All borrowers must personally guarantee the loan. If there are two members in an LLC, one may be underwritten as the primary borrower, but both members will still need to sign the personal guarantee.

Please don't hesitate to contact with questions!

Marty Johnston

IAP Partner - Charity Liason - Account Rep

11CapitalFinance, LLC

Work: 877-957-4357 Ext: 713

Cell: 920-285-8900

Conference Line: 712-770-8099 l Code 361824

[email protected]
http://www.11capitalfinance.com

Proud Sponsor of

Please note that email is the preferred method of communication.

 There are lenders out there who will allow you to blanket all 4 properties, and it will be better than typically hard money. However, as stated above - if you're bankable, the banks are certainly your best initial option. They'll have the best rates and terms, but the process will be substantially longer than goinf to the secondary market lenders. These will bring you rates between 6-9% with the average being about 7-7.5%., probably a couple pts, but will close much quicker 3-4 weeks.

Best wishes!

Marty

 Julius,

That was a good tip. We work with lenders who offer "LOC"s but the majority of them are unfavorable terms-wise compared to simply working with a HML for repeat business - multiple transactions at a time and can move quickly - we often referred this method to borrowers and they're glad they did.

Now, to the comment above, I would agree that where the gold in LOCs come in are with your banking relations (and assets of value to leverage). One LOC we have available for our borrowers is an asset- based LOC, but they can collateralize very unique assets - such as art collections, car collections, gold etc. They're primary collateral for higher leverage though is stocks, bonds, or other more liquid assets. But their rates are great - 4.18-4.5% this week and it is only on money that is currently drawn from their line. Minimum $3M on assets and you'll receive a $1M-$1.5M LOC.

There are a number of programs out there, not everyone has $3M on assets to leverage against, but unsecured LOCs can often be costly and wave the benefit of efficiency.

Hope this helps!

Marty

LARGE PROJECT FINANCING

We have an excellent Single Family Office based in the U.S. who offers Project Financing for projects worldwide. Contact me for more details and see below.

- Contact Information: [email protected]    -    920-285-8900

Loan Amount: $10M - $5B

Territory: World Wide (select countries excluded)

Rates: 3.99% - 5.99%

Fees: 1-2pts

Loan Type: Construction (1-5yr) to Perm (15-25 yr am)

Assets: Real Estate Projects, Start Ups, Energy, Gas, Oil, Humanitarian

Requirements: Strong Executive Summary/Background, 2-10% total project costs in liquidity (not used towards the project, but used as leverage. They will finance 100%) This 2-10% liquidity can be sourced in any way - Mezzanine, Equity partner, Gifted funds, POF Capital (held with third party custodian).

Contact for details

Contact Information: [email protected] - 920-285-8900

@John Gentile,
Let's talk! We work with 115 lenders and have many programs available for in your area. I'll send you an e-mail with some more info on us. Feel free to give me a call any time at 920-285-8900 to discuss further. We can let you know in 24-48 hrs what programs we can offer (no upfront or junk fees).

Marty J

[email protected]

www.11capitalfinance.com