2. What are the downpayment requirements?

A. Fix and Flip Loans

Downpayment requirements vary depending on the economy, the property, and the borrowers’ qualifications. Also, because requirements and programs may fluctuate over time, you will want to check with us to confirm the latest information. Downpayment requirements are between 10 and 30 percent.

Subject to underwriting and qualifying, we may consider a variety of sources to be used for the downpayment such as home equity lines of credit, funds from partners, cross-collateralization whereby with borrower’s consent we may be able to take a lien on another property already owned to cover the downpayment for the fix-and-flip property being purchased, and of course, funds on hand such as checking, savings, mutual funds, and other liquid sources can be used for downpayment.

B. 3- or 5- Year Loans

The downpayment requirement on this product is typically 20% to 30% of the purchase price, subject to the loan amount being no more than 70% of the "as is" appraised value.  This product is not for properties that require rehabilitation (our fix-and-flip loan is designed for those types of properties), but, is for properties that are already rented or will be rented in the immediate future.  As discussed above with the fix-and-flip loan, we may consider a variety of sources to be used for the downpayment.

3. What are the rates/fees/terms?

A. Fix-and-Flip Loans

Please refer to the Fix-and-Flip Loan Terms Link

B. 3- or 5- Year Loans

The rate on these "mini-permanent loans" is 12% fixed, interest only.  The origination fee on the 3-Year loan is 2%.  The orgination fee on the 5-Year loan is 2.5%.  Standard closing costs also apply.

4. Are there any prepayment penalties on the loan?

No.