September 10th, 2010 6:21 PM by Juan Luis Rodriguez-Kohly
Commercial Hard Equity Loans
What is it?
Simply put, it is a short term, fast closing loan based on the equity of the property rather than on the credit of the owner.
It is used mainly for Purchase or Refinance - Commercial, Industrial or Investment PropertiesWho needs it: You may need it under these circumstances:
· Bankruptcy
· Business Failure
· Credit Problems
· Death of Partner or Borrower
· Foreclosure
· Financial Problems
· Negative Cash Flow
· Tax Liens
· Unreported Income
· “Cant Wait Situations”
· Family Events
· “Work-Out Situations”
· "Turnaround Situations”
· Building Repairs or Remmodeling
· Inadequate financial data.
Why is it for me?:
1 Quicker approvals than a bank loan
2 No Credit required
3 Little Documentation required
4 Easier to close
5 More Flexible than a bank loan
6 No appraisal required in most cases
7 Cheaper than a partner or venture capital
Cross Collaterizing possible
In any of these circumstances, a Commercial Hard Equity Loan could be the quick, flexible solution to your problems!
What properties?:
1) Apartment Buildings
2) Office Buildings
3) Medical Buildings
4) Retail Centers
5) Commercial Buildings
6) Industrial properties
Other Possibilities:
· Mixed use properties
· Adult Living Facilities
· Land. Lots
· Others
What are other alternatives?:
· Lost opportunity?
· Foreclosure?
7) New Partner?
8) Venture Capital?
What preliminary information do I need to submit.
1) Contact Name: ____________________________________________________
2) Title: _____________________________________
3) Company name: ____________________________________________
4) Telephone: (_____) ______-________ Fax: (_____) ______-________
5) Best Time to contact: __________ am/pm to __________ am/pm
6) Email: ______________________________@________________________.______
7) Type of property: [ ] Commercial [ ] Industrial [ ] Investment [ ] Apartment Bldg
[ ] Retail [ ] Hotel [ ] Income [ ] Other: _______________ [ ] Land: ______ acres or sq ft
8) Loan Amount Requested: $_______________ for a term of _____ years. Cash out?:____ y/n
9) Intended use of funds?: __________________________________________________
10) Property Address: _____________________________, City:_________ Zip: _______
11) Florida County: _____________________________
12) Estimated property value: $___________________
13) Present Mortgage: $___________________
14) Copy of current Rent Roll (if applicable).
15) A Loan Summary (2 pages) detailing: 1) Intended use of funds. 2) Story of project (include answers to: who, what, when, where, why and how it is going to be repaid?) 3) Photos of property front, rear, and street views both ways.
Remarks:__________________________________________________________