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Real Estate Loans Feasibility
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Loan Process Highlights
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Step 1:
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Visit the site
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Step 2:
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Discuss the best capital structure
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Step 3:
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Obtain loan application and support documentation
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Step 4:
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Direct, schedule and assist with third party reports
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Step 5:
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Process loan commitment
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Step 6:
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Work with all legal counsels during closing process
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Step 7:
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Conclude closing
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Our clientele varies from the small, single-property, owners to mid to large size developers and owners. The expertise
of our underwriting department allows us to underwrite simple to complex loans providing our clients with the best
structure available.
Preliminary Review
When a principal brings us a loan, we immediately delve in to see if the loan is viable. We feel that it is in the best
interest of our clients, as well as ourselves, to advise them from the initial stages whether a loan is feasible or not.
When a principal contacts us, we screen the transaction and request preliminary items to analyze the loan. Initially,
the following is an example of items needed to determine feasibility:
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Income and Operating Statement - Year-to-date
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Income and Operating Statement - Past three years
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Rent Roll
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Income Tax Return
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Principal Financial Statement
The above captioned list is a general list for example purposes. Our representative will provide a list conducive
to the property type. Our underwriting department will input numbers into our templates and size the loan based
on our underwriting criteria. Once we determine that the transaction is feasible, our representative will present
the borrower with the best rate and terms available. We diligently work to obtain the best capital source for each
transaction and structure the loan to provide the best results for our clients.
Underwriting Variables
Each asset has specific parameters including debt service coverage, loan-to-value, term, amortization, etc. These
parameters vary according to property type. In underwriting a loan, management fees, loan to value, capitalization
rate, vacancy rate, and replacement reserves are items which are taken into account and vary according to property
type.
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