Commercial Guidelines2018-07-03T16:24:22+00:00

Commercial Guidelines

PROPERTY REQUIREMENTS

  • First mortgage lien. Participations and joint ventures will be considered.
  • LTV

    • Loans up to 60% of appraised value
    • Loans from $50,000 to $3,000,000
    • All property types will be considered
  • Appraisal required on all properties by approved Paces Funding appraiser (borrower is responsible for payment)
  • Mortgagee title policy required at closing
  • Builder’s risk and/or hazard policy naming Paces Funding as additional loss payee required at closing
  • Closing attorney selected by Paces Funding

LOAN PROVISIONS

  • Up to 60% LTV
  • 12 month term
  • Interest rate minimum 15% per annum
  • Origination fee minimum 5% of loan
  • Customary closing costs and fees paid by borrower
  • Appraisal by Paces Funding approved appraiser
  • Interest due on the first of each month
  • Extension fees beyond original term may apply

BORROWER REQUIREMENTS

  • Completed borrower application
  • Historical financial operating statements and projected future pro-forma
  • No credit score requirement
  • Executed contract for purchase and detailed construction budget, if necessary, from contractor required
  • Adequate financial reserves to cover expenses of closing and continued borrowing
  • Exit strategy to retire loan

RELATED POSTS

Flipping Houses: The 70 Percent Rule

September 6th, 2018|

Have you ever heard of the 70 percent rule when it comes to flipping houses? If you're just starting to look into flipping houses, you might have heard of the 70 percent rule. This house flipping tip suggests that an investor should only pay 70 percent of the After Repair

How Do You Get A Hard Money Loan?

August 27th, 2018|

Are you considering investing in homes to flip them? Considering a hard money loan, but feel unsure about the process? Here's where you will need to start. Check out our hard money lending criteria. If your situation fits our criteria, just fill out the  online loan application or download and fax it to us. When

Quick Tips For Getting Your Offer Accepted

August 15th, 2018|

There really are tricks to getting your offer accepted over someone else's offer. You just need to know how to structure the deal. Obviously, proof of funds and pre-approvals for any loans you will get are critically important to a seller choosing your offer. Many won't even entertain an offer

QUICK & EASY APPLICATION!

Get a quick response and funding when you apply online!

Apply HERE!