97% Purchase Price Financing

Short Term Equity Financing Program (STEF)

“Investor Fix & Flip Deals Only”

Short Term Equity Financing (STEF) Program Overview

Do you have a great potential Fix and Flip; Flip or Buy and Hold real estate investment deal that is rich with potential equity, however you lack the cash needed to pull it off?  We may be able to help . . .

For fix and flip deals that meet our standard criteria, we can fund up to 97% of the Purchase Price. Our 97% Short Term Equity Financing program (STEF) is similar to hard money, but with one important distinction: The STEF Program is not a loan, instead, the program offers Joint Ventures (JVs), a form of equity.

Basic STEF Program Guidelines

1. The STEF program limits its funding to experienced fix and flip investors only. The investor/buyer must have a minimum of 3+ completed (sold or refinanced) renovated projects
within last 36 months (includes experience of all members of the business entity).

2. The STEF program covers 97% of the Purchase Price of the investment property, the other 3% downpayment comes from the investor/buyer.

3. STEF program profit comes from the equity in the property at time of acquisition from the seller of the property.

4. There are no upfront fees or loan origination fees charged to the investor/buyer.

5. The STEF program functions as a JV Agreement (JVA) between the investor/buyer.

6. Funding is available nationwide in all 50 states.

7. The STEF program will only fund fix and flip deals where the property purchase price includes a minimum of 10% equity position or $20,000 in equity (whichever is greater) when it is first acquired; that is to say, the investor/buyer is able to buy the property for about 90% or less of the current appraised Fair Market Value (FMV).

8. When the property is initially purchased/closed, our STEF Lending Partner will have a first position promissory note that includes the 10% equity or $20,000.00 equity (whichever is greater) + the 97% funding amount. To reiterate, the STEF program profit comes from the equity in the property at time of purchase/acquisition.

NOTE: Should the investor/buyer be fortunate enough to acquire the property at a purchase price where the equity position is GREATER than 10%, all the extra equity (above 10%) belongs to the investor/buyer, and thereby increases the total amount of profit the investor/buyer could earn on the project when it eventually sells or is refinanced. In a best-case scenario, it is very possible that the investor/buyer could secure an additional 5%, 10% or even 15% equity in the property at the very start of the project.

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