Frequently Asked Questions
Bridge Loans
How long does it take to obtain a bridge loan?
It takes between 10 to 20 days
What documentation is required for a bridge loan?
a.) Personal financial statement
b.) Bank Statements
c.) Resume
How long does it take for a commitment letter/approval?
Between 2 to 5 days
How long does it take for third-party reports to be conducted?
Between 1 to 3 weeks
What is the rate?
The rates start at 9%.
What is the loan to value?
The LTV ranges from 50% to 70%
What are the terms?
12, 24 or 36 months
Is there a prepayment penalty?
No, but there is minimum interest of 6 months.
Is it recourse or nonrecourse?
To be determined on deal by deal basis.
CONVENTIONAL LOANS
How long does it take to obtain an approved conventional loan?
Approximately between 60 to 90 days
What documentation is required for a bridge loan?
a.) Personal and corporate tax returns for 3 years.
b.) Interim financial statements
c.) Personal financial statements
d.) Debt schedule
e.) Rent roll
f.) Operating expenses
How long does it take for a commitment letter/approval?
Approximately 30 days.
How long does it take for third-party reports to be conducted?
Between 2 to 4 weeks.
What is the rate?
The rate goes from 6% to 10%.
What is the loan to value?
The LTV ranges from 50% to 75%, and up to 90% if SBA loan.
What are the terms?
5,7 and 10 years. Up to 25 if SBA loan.
Is there a prepayment penalty?
Yes, usually 3,2,1
How much of the loan can I pay down yearly?
Up to 20%.