Frequently Asked Questions
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.
We have a minimum commercial real estate loan size of $750,000 for multifamily and commercial properties.
We don't offer construction, raw land or vacant property financing at this time.
Local banks are no longer the only source of mortgage capital. In fact, local banks are often limited to short terms loans of five to seven years. 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. With our wide variety of choices, we can usually offer terms that are far superior to your local bank.
Our wide array of available lenders allows us to look at loan scenarios that ordinary bank lenders would likely turn down. We are different – we think outside of the box and look for ways to approve loans that don’t always fit the guidelines.
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!
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.
On multifamily buildings, we typically lend up to 80% of purchase price. Commercial properties qualify for up to 75% financing, unless the property is being used for your owner occupied business, in which case we will lend up to 90% LTV.
We welcome the opportunity to review your loan scenario. We offer personalized service and will try to custom tailor a commercial real estate loan that meets your needs. We look forward to adding your name to our list of satisfied customers!
The last banking crisis has shifted the lending focus away from banks and in favor of other lenders, including insurance companies, agency lenders, credit unions and Wall Street conduit programs. While banks are actively lending, they are not the only, nor always the best, source of commercial mortgage loans.
Most real estate values dropped during the last crisis. Many have rebounded, but not all. Lenders are now being more cautious with valuations because many lenders got burned last time around. The days of 90% and 100% financing are over. Lenders today expect higher down payments than before.
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 not able to approve.
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. The only loans available with LTV’s higher than 80% are now exclusively for owner occupied businesses utilizing government backed loans such as SBA and USDA.
The retail sector has been hit very hard during the past 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.
We offer a simplified application process with no cost and no obligation. We do not charge any application or processing fees ever.
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.
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.
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.
While multi-family 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.
We offer many borrower friendly benefits, including: simplified application process, responses in 24 hours, NO application fees, NO cost and NO obligation!