Q: This is a huge investment/transaction for me and I'm hesitant using a company that I found online. While your company looks reputable, how can I be sure that you are capable and knowledgeable enough to take care of me?
A: That's an excellent question. As with all online transactions, you should be alert and research the company carefully. It is important to verify that the company you do business with has a proven track record and is an accredited business with the Better Business Bureau. Be wary of companies that charge upfront fees before approving your loan. Ask for all loan terms in writing before proceeding. Make sure you speak to a decision maker. The President of our company, Stephen Sobin, speaks with every loan applicant directly. Many of our clients were similarly hesitant upfront but felt reassured once they spoke with him and saw his commitment to helping them solve their financial goals and his knowledge of the market. In addition, we have partnered with VERISIGN, a nationally recognized leader in internet safety, as a further guarantee of our reputation.
Q: I'm looking to finance a small property. What are your options?
A: We have a minimum loan size of $750,000 for apartment buildings/multifamily and commercial properties.
Q: I'm looking for construction financing. Can you help?
A: We don't offer construction, raw land or vacant property financing at this time.
Q: I’m a seasoned landlord and have always done business with my local bank. However, I realize that times have changed and there may be more opportunities than I realized in the past. What can you offer me that my local bank can’t?
A: Due to market conditions, and the current banking crisis, most banks have severely curtailed their lending activities or stopped lending altogether. We have many alternative sources of capital available, including: insurance companies, pension funds, agency lenders, government lenders, Wall Street conduits, and credit unions to choose from.
Q: My loan is a unique situation and I’m not interested in wasting my time with a lender that deals in volume and loans that fit a certain criteria. Is your company capable of helping me?
A: Our wide array of available lenders allows us to look at loan scenarios that ordinary bank lenders would likely turn down.
Q: I’ve been thinking of buying an apartment building and am just starting the process. At what point in the buying process should I look into financing?
A: Once you have located a building to purchase, agreed on a purchase price, and have a down payment to make, you should give us a call. We will help you take it from there!
Q: I have a good amount of money to put down on an apartment building but my credit is fair. Can I secure financing?
A: We typically expect to see a credit score of 680 or better. Lower credit scores may be considered with compensating factors and a higher down payment.
Q: How much money do I need for a down payment? Is it the same for an apartment building as another form of commercial property?
A: On apartment buildings, we typically lend up to 80% of purchase price. Commercial properties qualify for up to 90% financing, unless the property is being used for your owner occupied business, in which case we will lend up to 90% LTV.
Q: I'm thinking of filling out a Loan Request. Is there anything I should be aware of before submitting it?
A: We welcome the opportunity to review your loan scenario. We offer personalized service and will try to custom tailor a loan that meets your needs. We look forward to adding your name to our list of satisfied customers!
Q: I know lending in general has changed over the last couple of years. What are the changes that have had the most impact?
A: The recent banking crisis has shifted the lending focus away from banks in favor of other lenders, including insurance companies, agency lenders and Wall Street conduit programs.
Q: I’m looking to refinance my commercial property and I’m wondering how the decrease in value over the last several years will affect me.
A: Most real estate values have dropped over the last few years. Lenders are also being more cautious with valuations in case property values decline further. Adding to the problem is that most lenders have cut back their maximum LTV to lower and more conservative levels. This has made it much harder to finance high LTV loans.
Q: Does your company offer the most competitive rates?
A: Since we have many, many sources of capital available to us, we are able to shop the market and provide very aggressive and competitive pricing. Most important though, is our ability to approve loans that many local banks are no longer able to approve.
Q: I don’t have much money for a down payment but my credit is excellent. Can I get a loan?
A: Probably not. The days of 100% loans and seller financing are gone. All lenders today require that the borrower invest his/her own cash into the transaction. At the very least, a 10% down payment will be required.
Q: I own a strip mall and am looking to refinance, however I’ve had trouble finding a lender that can help me. Can you?
A: The retail sector has been hit very hard during this recession causing many stores and retailers to go out of business. Retail vacancies are at very high levels. Retail deals today require strong tenants, long term leases and high occupancy levels.
Q: I want you to quote my loan scenario, is there any obligation?
A: We offer a simplified application process with no cost and no obligation. We do not charge any application or processing fees ever.
Q: I’ve found a commercial property that I would like to purchase. How long will it take to secure a loan?
A: All loans require an appraisal and other third party reports. These reports take some time. Accordingly, it usually takes 30-45 days to get from application to closing.
Q: I’m interested in getting a quote, what type of documentation will you be looking for?
A: We usually expect to see operating statements, rent rolls and photos of the subject property. In addition, we need to review the financial condition and credit of the borrower.
Q: I need financing fast. Can you help me?
A: We can offer hard money or bridge loans on transactions that are extremely time sensitive. You can expect these loans to carry higher rates and fees than traditional loans.
Q: I see apartment building loans mentioned on your site quite a bit. I have a retail store. Are you as knowledgeable with this type of loan as you are with apartment buildings?
A: While apartment lending has traditionally been the largest portion of our overall lending volume, we lend on a wide variety of property types, including: office, retail, warehouse, industrial, self-storage, hospitality, and single/special use.
Q: Why should I use your company for my financing over another?
A: We offer many borrower friendly benefits, including: simplified application process, responses in 24 hours, NO application fees, NO cost and NO obligation!
