Commercial Hard Money

We Underwrite Direct for our Private Lenders Nationwide. We arrange commercial hard money, private money loans, bridge loans and land loans for commercial properties, apartments, strip centers, industrial properties, casinos, amusement parks, hotels, unusual properties and more. If you are looking for private money, our funding time averages 45 days.Our program consists of “Hybrid Lenders”. This term refers to providing private money at bank interest rates or better. Complicated lending is our specialty. We fund private money loans from $1Million to $1Billion. The documentation needed is typically swift and uncomplicated. We can finance commercial, developer lots, raw land, unimproved & improved property of all types and land purchases. Private money loans are generally interest-only loans.It’s easy to qualify for a commercial hard money loan! We focus mostly on collateral value and the fundamental value of the real estate. We are very creative and can move quickly. Additionally, we do work with brokers. Our Hybrid funding can fund deals others cannot. If you are a broker with deals you cannot place, please contact us directly for details on our private money co-broker and referral programs.Our approval process is simple and in most case depending on the program, we can provide a preliminary approval the same business day.

Loans in our Finance Suite are typically for loans under 2 million.

There are 4 basic loan programs which a client may fall under and they are outlined as follows:Conventional/Hybrid Lending Rate- Usually the credit worthiness and overall financial strength of the client either meets or exceeds standard guidelines. Rates could very between 6%-8% interest only for 12-36 months in most cases.Private Lending Rate- Usually the overall strength of the client is less then satisfactory for the lender to commit to a favorable interest rate, but the feasibility of the deal is very strong. Rates for this type financing may very from 9%-16% interest only for a period of 12 months.

Subsidized Security Lending Rate- Usually the security is lacking in value and therefore it is necessary to provide leverage in the form of bank guarantees to make up the difference in security and provide for a more collateralized value loan. Rates for this type of financing can very from 7%- 16% depending upon other strength factors.

Our team of Direct Funders is made up of Private Financers who are called “Hybrid Lenders”. This term refers to providing private money at bank interest rates or better. Underwritings primary objective is to group their lenders based upon the strength of the deal they are underwriting, the lender will then dictate their individual terms to the client in the form of the term sheet, and or commitment agreement. Interest rates will often very depending on credit worthiness, financial strength, and overall experience level of the client. Other factors which may determine rate variances could be market conditions, cash to value and collateral strength. With Hybrid Lending, interest rates may meet or exceed expectations to the more favorable conventional rates; however private lenders make their money with the finance fees they charge.

In all cases the base finance fees for Hybrid Lending is going to be between 6% to 8% of the base loan amount.

Upon satisfaction and agreement of all conditions’ our underwritings staff will begin the process to make the determination of how best to fit your financial needs with our programs described briefly above. In order to avoid any time delays or impair the underwriting process, all documents requested should be sent in a timely manner. All underwriting is given the same amount of priority the moment the last document requested is received. To insure thoroughness in the process we allow for up to 45 days before final determination of a loan. This time cycle begins the moment underwriting has received the final requested documents. Once approved, our designated team of Direct Funders shall issue its final and firm Commitment with a Term Sheet or Conditional Commitment.

It will be necessary for our underwriters to speak directly with the client during the underwriting process. This initial contact will generally occur 48-72 hours after the underwriting process has begun, at which time the client and underwriter may wish to go over the deal and field any questions they have for each other.

Our 4th Program is to send your deal to our Finance Suite and get multiple offers. This is typically for loans under 2 million.

Michigan & Detroit Investment Rehab Loans
Up to 75% of After Repair Value! Rates as Low as 8%
Flat $4500 Fee Covers ALL Costs

► 100% of Purchase & Improvements
► Interest Rebates for Early Payoff
► 12 Month Term – IO Payments
► 1-4 Family Primary or Investment
► Michigan Only – Detroit OK
► No Seasoning of Reserves
► Flexible Draw Schedule
► NO Appraisal Required
►Down to 580 FICO with Compensating Factors
► Must be MI Resident
► Stated Income or SE OK with Assets/Reserves

If the deal makes sense, we’ll get it done!
A hard money or rehab loan is a short term, high interest loan that offers you the opportunity to buy a house with no money out of your pocket. We loan up to 75% of the ARV. We give an appraiser the list of repairs (if any) that need to be done to the house and he gives us the value based on those items being complete. We loan the money to buy the house, the money to repair the house and the closing costs up to 75% of the ARV. The repair funds are kept in the lenders account and released to the borrowers in draws. From the time of the request, we send our inspector out to make sure the work is completed satisfactorily.

This means you can begin the refinance process the day the work is complete or if no work was needed, the day after you purchase the home. Keep in mind that when you refinance, you should limit your LTV to insure a cash flow. We usually recommend no more than 80% LTV. Many Investors who learn about these strategies get very excited and see it as a “get rich quick opportunity” IT IS NOT. It is important to proceed with caution, slowly and with lots of homework. Steady plodding is the key. If you try to fudge and push the formula to the limit, you will likely fail. You can count on more work being needed than you originally planned. Termites will show up even after inspection; HVAC units will be out of order that appear brand new. Believe that unexpected things will occur.

Simple steps to submit your deal:
Broker or client will write a quick summary in simple terms of what the deal is about.
We will need a completed submission form that will be provided when NCND is signed and sent back.

Just Follow These Steps:
► Fill out application 1003
► Tri-Merge Credit Report
► Asset Documentation
► Sales Comps
► Repair Schedule
► Client needs to sign Agreements

Send us a copy of clients Executive Summary
Broker needs to sign NCND
Client needs to sign NCND

With in 24/48 hours you will receive the following documents for final submission, LOI (Letter of Intent)…general terms and conditions, memorandum of conditions for underwriting.

For more information email me: commercialhardmoneypro@gmail.com

Tags: commercial hard money, hard money lending, hard money loans, hard money real estate loans