Lending Updates
7-30-2008
Due to the current conditions in the Credit Markets, we are currently working exclusively with Private and Hard Money Lenders who are not dependant on Wall Street or the Stock and Bond Markets.
Because Banks are facing increased regulatory scrutiny, they are unable or unwilling to provide financing for many viable projects that require financing.
Our lending sources are still able to provide high LTC financing structures for qualified borrowers, but it should be noted that their criteria will be strictly adhered to. Also because demand for money is still strong, our lenders will NOT waive any due diligence costs or retainers that will be required. We all sympathize with those of you who have encountered less than professional lenders and brokers that may have taken you for tens of thousands in upfront costs with out performing, but if you are asking to borrow millions it should be expected that you will have to cover at least some of the lender's research and underwriting costs.
It should also be noted that Banks are now charging these fees as well to start covering there due diligence costs and to ensure that you the borrower are not going to continue shopping for lenders once they provide general terms of what they can offer you.
Now on a more positive note, we have several new lending sources that can offer up to 100% LTC financing under pure debt which can be collateralized with more than just the subject property.
Also, if you are seeking fast Bridge or Hard Money options we also have a couple of lenders that DO NOT charge upfront fees such as application or commitment fees. You simply pay for an MAI appraisal, lender's travel costs for site visits and any other required 3rd party vendor charges if needed.
Announcements
Please note due to the number of clients & potential clients who have wasted our time by having me work a loan request at the same time as other brokers, we will now require and Exclusive 12 month Broker Agreement to be signed before we will spend any time working on new loan requests.
This is to help ensure that we are able to provide the amount of time to each client and their loan requests with out charging higher Broker or Retainer fees.