NEW – $0.00 Lender Points At Closing – Fix & Flip Funding!*
“GOLD Funding Program”
Short Term 12 Months – Interest Only Payments!
Purchase & Rehab, Purchase Only Or Refinance Cash Out!
$75,000.00 – $1,000,000.00
550+ Minimum Credit Score To Qualify!
GOLD Funding Program Highlights
– *$0.00 Lender Origination Points Paid At Closing (Optional). Pay no lender origination points at closing for fix and flip and purchase only transactions. Lender points are paid on back end at sale or refinance of property with a 25% service fee added to the original amount of lender points. Not available for 1st time investors. Not available for refinance transactions!
– 600+ Credit Score Qualifies For Financing Up To 90% Of Purchase Price! See funding guidelines below for details.
– 550 -599 Credit Score Qualifies For Financing Up To 85% Of Purchase Price! See funding guidelines below for details.
– 550+ Credit Qualifies For Refinance Cash Out Up To 65% Of Value. See funding guidelines below for details.
– Loan Amounts From $75,000.00 – $1,000,000.00!
– Can Fund Up 100% Of Rehab Cost Not To Exceed 70-75% Of ARV!
– Close In 12-15 Business Days From Receipt Of All Documents!
– No Employment Verification Required!
– No Income Verification and No Income Documentation Required!
– 1st Time Investors OK!
– No Obligation 24 Hour Prequalification Results!
GOLD FUNDING PROGRAM
States Currently Funding GOLD Program
Colorado, Connecticut, Florida*, Georgia**, Illinois, Kentucky, Maryland, Massachusetts, Michigan, Missouri, Ohio*, Pennsylvania, South Carolina, Tennessee, Texas**, Virginia*, Washington, West Virginia.
*You must close in the name of a business entity in the following states: Florida, Ohio and Virginia.
** LTV’s are reduced by 5% in the state of Georgia and also in the metro-Houston, Texas market.
LOAN FUNDING GUIDELINES
Credit Score Requirement
600+ Credit qualifies for standard program with financing up to 90% of purchase price, not to exceed 75% of the current AS-IS Value (70% for 1st time investors) AND up to 100% of rehab cost with the combined loan amount not to exceed 75% of ARV (70% 1st time investors).
550 – 599 Credit qualifies for financing up to 85% of purchase price, not to exceed 75% of the current AS-IS Value (70% for 1st time investors) AND up to 100% of rehab cost with the combined loan amount not to exceed 70% of ARV (70% 1st time investors).
Required Documentation – See Bottom Of Page For List Of Required Documents
Purchase Price Funding Guidelines
We fund up to 90% of the purchase price of your investment property. The actual dollar loan amount for the purchase cannot exceed 75% of the current AS-IS Value (70% for 1st time investors).
Rehab Cost/Budget Guidelines
Rehab budget in excess of 50% of the purchase price: Any rehab budget in excess of 50% of the purchase price of the subject property will require a licensed General Contractor. Also any rehab (regardless of dollar amount) that adds new square footage to existing foot print of property, requires foundation work, etc will also require a licensed General Contractor.
Rehab budgets in excess of $50,000 will require a “extensive scope of work spreadsheet” be used to itemize the rehab/repair work. The extensive scope of work spreadsheet template is provided when submitting funding documents.
Maximum Rehab Budget Amount: The maximum rehab budget loan amount cannot exceed the purchase price of the subject property. The combined purchase loan and rehab loan amount cannot exceed 75% of the After Repair Value of the property being purchased (70% for 1st time investors).
Note: We do not advance rehab loan funds. Rehab funds are disbursed (at your discretion) as work is documented as completed with your project.
Refinance Transactions (Cash Out Available)
With a minimum 550+ credit score, we can fund up to a maximum of 65% of the current AS-IS Value if the current owner has been on title of subject property for a minimum of 181 days. All refinance transactions require a full property appraisal.
Guidelines For Refinance Transactions:
– Vacant properties OK!
– Single family, 2-4 units, condo’s and town-homes OK!
– No market rent analysis required and no copies of lease agreement required!
– Properties currently listed for sale OK!
– If subject property owned for less than 6 months we can loan up to 90% of the original acquisition cost.
Loan Origination Fees – Effective As Of April 1, 2017
Loan amounts of $ 75,000.00 – $120,000.00: 2.00% of total loan amount plus $2,100.00 flat fee
Loan amounts of $121,000.00 – $250,000.00: 3.75% of total loan amount
Loan amounts of $251,000.00 – $500,000.00: 3.50% of total loan amount
Loan amounts of $501,000.00 – $1,000,000.00: 2.99% of total loan amount
Closing Fees – Effective As Of April 1, 2017
$749.00 Underwriting Service Fee – Includes $299.00 Non-refundable Application Fee due at time of submission to pre-underwriting. The application fee also covers the cost of the Broker Price Opinion (BPO) used to appraise the value of the subject property. The Credit for application fee is applied at closing. Balance Of $450.00 due at closing.
$495.00 Processing Fee
Proof Of Financing Letter
After completing a pre-qualification application we can also promptly provide you with a proof of financing letter(s) to assist you in making offers on prospective investment properties. To obtain a proof of financing letter you must provide a copy of your most recent bank statement reflecting an ending balance of the minimum required funds to close.
Proof Of Funds To Close
You must clearly document that you have the funds to close, which includes; down-payment, lender fees and closing cost for purchase transactions and 6 months reserves for a refinance. Loan files are not submitted for underwriting approval without proof of funds to close.
Business Entity Allowed
Funding can be approved in the business entity name or individual name. In Florida, Ohio and Virginia, all investor transactions must be closed in the business entity name only.
US Citizenship Requirement
All individual borrowers and guarantors must be U.S. citizens or have proof of permanent residency in the U.S. and a valid SSN in order to be able to conduct a background check.
All purchase transactions require a minimum of 10% down-payment of the final purchase price. There is no seasoning requirement of the down payment. We DO NOT provide 100% purchase financing.
First Time Investors
The maximum LTV for first time investors is 70%. To NOT be considered a first time investor, borrower must have documented prior ownership of residential investment real estate in their personal name or business entity name per one of the following criteria:
Closed one (1) real estate investor transaction within the last six (6) months, OR closed two (2) real estate investor transactions within the last 12 months, OR closed three (3) or more real estate investor transactions at any prior time.
IMPORTANT: We can fund two (2) simultaneous investor mortgage loans for a 1st time investor at any given time.
Days To Close
On average we can close on any transaction in about 12-15 business days from the time we receive ALL REQUIRED DOCUMENTATION. Delays in closing are normally due to appraisal/property value or seller title issues. For purchase transactions, the purchase agreement/contract closing date must be a minimum of 15 business days from the time we receive all required documentation or the purchase agreement/contract must be amended to extend the closing date.
Maximum Loan Amounts
Minimum loan amount of $75,000.00 up to $1,000,000.00
Determining Your Current As-Is Value
We highly recommend using www.RedFin.com to assist you in “estimating” the current As-Is value of a prospective investment property. In addition you can normally find highly important information specifying other home sales of similar type properties near the bottom of the web page.
We strongly recommend that you DO NOT use Zillow.com to estimate current value. It’s important to note that no online value estimating tool can determine the actual value on a specific property so you have to complete a thorough due diligence process to identify the “most similar and closest” sales comps to establish a reasonable value.
Property Appraisal – “The BPO”
A traditional property appraisal is NOT required to underwrite and fund a single family residential home, condo or town-home. We will normally use a Broker Price Opinion (BPO) to determine the current AS-IS value for underwriting approval.
NOTE: All 2-4 unit transactions and transactions funded in the following specific areas will require a full traditional property appraisal: Philadelphia, PA, Pittsburgh, PA.
No Verification Of Income Required
No verification or documentation of personal or business income is required.
No Verification Of Employment Required
No verification or documentation of your current or past employment status is required.
Verification Of 6 Months Reserves Required
All loan transactions require that you verify six (6) months of interest payments (Reserves) via your bank statements. The most recent account balance reflecting on your bank statement is the basis for documenting your 6 months reserves. No seasoning of funds is required so real time deposits can be made to meet this underwriting requirement.
Terms of Loan Funding
Single family and 2-4 residential units (including condos, town-homes & PUDS)
Purchase and rehab, purchase only, refinance cash out, or rate and term refinance.
Interest rates range on average from 9% to 12% depending on the final LTV on the loan being funded. As such, the lower the final LTV the lower the interest rate.
Subordinate financing is NOT allowed, which includes 2nd mortgages and seller held financing.
Seller concessions are allowed. However, any seller concessions will reduce the purchase loan amount dollar for dollar equal to the amount of the seller concessions. AS SUCH, WE STRONGLY RECOMMEND TO NOT INCLUDE ANY SELLER CONCESSIONS IN YOUR PURCHASE SALES AGREEMENTS.
Minimum loan amount of $75,000.00 up to $1,000,000.00*
Maximum LTV is 75% of As-Is Value and 75% of ARV when rehab loan is included.
After Repair Value Maximum’s
The maximum LTV based on ARV is 75% for all transactions.
Rehab Loan Amounts
We can finance up to 100% of the rehab cost, not to exceed the purchase price of the property and not to exceed 75% of the ARV. Maximum rehab loan amount is $500,000.00.
Rehab Funds Disbursement
After request for rehab loan funds is initiated via email request, funds are disbursed within 3 business days after completion of inspection/validation of completed work.
Fixed monthly payment, interest only
Business Entity Borrower (When closing in the name of a business entity)
__ Last 3 month’s business bank statements (must include all pages)
__ Copy of void check associated with bank statements provided
__ Articles Of Organization for LLC Or Articles Of Incorporation for a Corporation
__ Operating Agreement or Corporate Charter/Bylaws
__ Clear and legible copy of Guarantors Drivers License
__ Clear and legible copy of Guarantors SSN Card
__ Copy Of HUD-1’s from previously acquired residential investment properties (if applicable)
Individual Borrower (When closing in individual name & no business entity involved)
__ Last 3 month’s personal bank statements (must include all pages)
__ Copy of void check associated with bank statements provided
__ Clear and legible copy of Drivers License
__ Clear and legible copy of SSN Card
__ Copy Of HUD-1’s from previously acquired residential investment properties
Note: Terms are subject to change. Final terms vary depending on the property and borrowing entity