Residential Guidelines
PROPERTY REQUIREMENTS
First mortgage lien only
Loans up to 65% of ARV
Loans from $20,000 to $3,000,000
Multifamily properties up to 4 units will be considered
Appraisal of ARV required on all properties (borrower is responsible for payment)
Mortgagee title policy required at closing
Builder’s risk policy naming Paces Funding mortgagee as additional loss payee required at closing
Closing attorney selected by Paces Funding
LOAN PROVISIONS
- Rates start at 10% per annum, interest only, depending upon collateral and loan structure.
- Up to 65% LTV of ARV
- Origination fee as low as 2% 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
- Maximum 12 month term
BORROWER REQUIREMENTS
- Completed borrower application
- There is no credit score requirement
- Executed contract for purchase and detailed construction budget from contractor
- Adequate financial reserves to cover expenses of closing and continued borrowing
- Acceptable exit strategy to retire loan
- Borrower contributes 15% of cost at closing
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