How fast can you close?
Very fast. Typically in under 2 weeks if necessary. Our current and returning clients close even faster than first time borrowers. In order to settle, we must, at a minimum, inspect the property, meet the borrower and get title insurance.
Is there a minimum or maximum loan amount?
No, but we have a minimum origination fee of $3,000. We typically advise not borrowing less than $25,000.
In what geographic areas do you operate?
We lend on property in Philadelphia and the surrounding areas. Generally, we want the property to be within a one hour drive of Center City Philadelphia.
What are your rates and fees?
We charge a mortgage placement fee which is tiered depending on the amount of the loan. Normal title and closing fees are required. There are no hidden costs. We prepare a loan proposal outlining all loan related details so that you have all of the information in advance. Contact us for our current rates and fees.
Is there a credit minimum?
We don’t have a minimum credit score, but good credit is required. We analyze credit on a case-by-case basis.
What are your lending limits?
Typically, a maximum of $1,000,000 per investor, but once we build a relationship, we are open to lending more.
What sort of loan structure do you offer?
We offer interest-only and amortizing loans. All loans are short term (usually between 9-15 months) and all fixed-rate.
What lien position is required?
First position is required on all acquired real estate. Secondary positions, depending on first mortgage balance, are possible when property is serving as additional collateral or being refinanced.
What loan to value (LTV) will you provide?
We offer various ratios from 50%-100+%. It depends on the borrower and the scenario.
How do you handle repair draws?
We disburse the draw money based on a pre-closing agreement between lender and borrower. We will release the money in stages based upon the completion of the work. We pay out in arrears upon completion of the various stages and base your monthly payments only on the funds disbursed. There is a $225 inspection fee for each draw.
Do you holdback a percentage of the rehab money?
Depending on the complexity and size of the loan, we may request a percentage holdback on draws. Holdback will be released upon 100% completion.
Are there pre-payment penalties?
There are NO hidden charges and no prepayment penalties.
Are entities OK?
Yes, we lend to corporations, LLC’s, partnerships, and individuals. That said, personal guarantees are required on all loans.
What if I’m having trouble on a deal or making my monthly payment?
Communication is key! Call us and we will try to work with you.