Acquisition, refinance or minor rehab.
CASH NOW's CREATIVE LOAN
Land & Commercial/Investment Properties: Anything
other than owner occupied homes, condos, or mobile homes. (However such properties may be pledged as additional
collateral to increase loan amount and/or reduce the
Minimum Equity: 5% with seller 2nds and allowed up to
95% combined loan to value:
Maximum Loan to Value Ratios (LTV): With good credit and
appraisal, a maximum loan of 75% on improved property and
55% on land is possible. Because we allow junior Seller
Financing, 95% combined loan to value financing is
available. Although we do not loan on equipment, we will
accept it as additional collateral to increase the LTV on
loans against acceptable properties.
Loan Term: Five years but renewable for an additional
5 year term.
Amortization: Up to 20 year amortization schedule,
interest only for up to 3 years, then up to 17 years
amortization schedule. Will allow no payments for up to 6
months, with interest reserve subject to L.T.V.
Rates: Beginning at 4.5% over prime with final rate
dependent on equity, Borrower credit and networth and type
and quality of property. The interest rate will be
adjustable based upon changes in the prime rate as of
January 1st and July 1st each year.
2nds: Interest is 4% more than 1st, with LTV 5%
lower. May be structured as wraps due 10 days before payment
on underlying 1st. Must secure agreement with beneficiary of
Tax and Insurance: Reserve escrows may be
Late Payment: 10% penalty after 10 days plus 5%
penalty interest after 30 days delinquency.
Prepayment Penalty: None. Loan may be prepaid at
anytime without penalty.
Loan Fees and Points: A fee of $3,500 plus 3.0% of
the amount borrowed for loans with a term of one year or
less. For each year of the loan term in excess of one year,
the fee is increased 1% per year for a maximum of $3,500
plus 7.0% for a 5 year loan term.
Loan Renewals: If all payments are made on time,
loans may be renewed for one additional term.
Flexibility: The above are general guidelines, but we
will consider anything that makes sense - - such as lower
interest in return for profit sharing. Although we are
expensive lenders - - we are cheap partners. But more
important is the fact that we will make the loans that the
low interest lenders won't!