dallas: Bridge Loan Success - A Bridge To Far? Not This Time! - 02/09/16 01:23 AM
This is a Bridge Loan Success. This borrower had a real struggle.  He had invested tons of money in his project, capital was drying up and he needed a quick solution, here's how it all went down.
A Bridge (loan) to Far? Not this Time!
Everyone knows the old WWII story about the raid led by the British to try and gain a foothold in Europe and break the German supply lines.  The raid, dubbed Operation Market Garden, was doomed from the start.  Poor planning, a lack of experience by the planners and imporoper insight into the resources needed to accomplish the … (0 comments)

dallas: Working Capital & Business Lines of Credit - 01/27/16 06:26 AM
Working Capital
Working capital loans are something every business needs at some point in their history but are often hard to come by.  The problem with working capital loans is generally not one of qualification but of understanding.
While there are working capital loans with low rates, think SBA and other government backed loans, these loans typically take a long time to close and often leave the business without the fast cash needed to take advantage of opportunities of solve some dire, immediate business need.
Working Capital Loans & Business Lines of Credit
Today's market is filled with companies offering working capital loans, merchant … (0 comments)

dallas: The Bridge Loan with 80% LTV... Possible! - 01/19/16 06:07 AM
The Impossible Bridge Loan
It is a much sought after bridge loan but is often elusive.  A bridge loan with a loan to value ratio (LTV) of up to 80%!  While some believe it is impossible, it is not. 
The majority of bridge loans in the market today have a cap of 65% LTV.  Some lenders will go as high as 75% but only on those cherry deals in prime markets.  However, recently certain bridge lenders have had an epiphany of sorts.
With the large banks still vacant in the commercial real estate lending space, these large bridge lenders have begun to originate GSE … (0 comments)

dallas: Multifamily Residential Financing in 2016 - 01/12/16 12:27 AM
Multifamily Residential Financing
It's a new year and the market for multifamily residential is hot.  Yardi reports in the Yardi Multifamily Rents Matrix for 2016 that multifamily rents in 2015 grew by 6.4%!  This is good news for the industry.  This equates to a 190 basis point increase over 2014 numbers and crushes the long-term average of 2.8%.
So how will this affect multifamily residential financing, we think the answer is; positively!  Interest rates are still very low, hovering around 4%.  We are starting to see LTV's creep up as continued rising rents take pressure off of risk.
Multifamily residential financing for refinance to a … (0 comments)

dallas: Multifamily Small Balance Loans - 01/05/16 07:50 AM
Small Balance Loans for Multifamily Properties
It's a New Year!  and the market for multifamily small balance loans is getting even better!  With two major categories, those loans from $250,000 to $999,999 and those from $1 million to $5 million, investors in multifamily developments and apartment buildings now have the aggressive capital they need to significantly grow and improve their portfolios in 2016.
Loan to Value (LTV) ratios are still aggressive and are currently range from 75% to 80% in most markets.  Rates are still extremely loaw for loans over $1 million with 30 year amortizations running around 4%!  Money is available for … (0 comments)

dallas: Gas Station Finance - Portfolio Purchase - 11/12/15 08:42 AM
Gas Station Financing
The toughest loan on the market today is a loan for a gas station convenience store.  Most investors end up relegated to the small bank, SBA cycle where they are both limited in scope and breadth of the amount of financing they can receive.
However there is an alternative, especially for those seeking gas station finance for the acquisition or repositioning of a portfolio of stations.  Through a special arrangement with an entrepreneurial finance partner, Dividend America Commercial Lending has rolled out a new gas station c-store finance program.
Focused on portfolio, roll-up and consolidation programs, Dividend America is able to provide … (0 comments)

dallas: Hotel Loans & The SBA Loan - 09/18/15 05:47 AM
Hotel Loans & SBA Loans
Many in the hospitality industry are seeking hotel loans for their next project and tend completely overlylook the advantage of SBA loans.  Small business loans from the Small Business Administration are an excellent resource for funding your smaller hospitality investments.
With the ability to fund hotel loans up to $5 million and as high as 90% in some cases, a hotel loan using SBA guidelines is the perfect choice for many projects.  To find out how easy it is to qualify for a hotel loan using SBA loan guidelines give the experts at Dividend America Commercial Lending a … (0 comments)

dallas: Multifamily Financing - Low Rates, Longer Terms - 09/14/15 09:34 AM
Multifamily Financing with lower rates and longer terms are available for Small Balance loans.  In the past, most multifamily financing that included longer terms and low rates were reserved for larger loans, usually loans over $10 million.  Now, multifamily financing with loan amounts from $1 million to $5 million is easy to obtain.
Multifamily Financing - Non-recourse!
These non-recourse, long-term, low rate loans can have fixed periods from 5-10 years with rates below 4%!  That's right, they are also non-recourse!  The multifamily residential housing industry has been clamoring for this multifamily finacing prorgram and finally, it is available.
Helping both smaller investors and institutional investors alike, this small … (0 comments)

dallas: Hotel Loans - 09/04/15 03:59 AM
Need Hotel Financing? Hotel Loans
Hotel loans for all types of projects are available with fairly simple terms.  With 80% LTV (loan to value) hotel loans, investor get the most aggressive loan terms with amortizations of up to 30 years and rates below 6% in most cases.
Today, hotel loans are available for acquisition, for refinance ... even with cash out to perform a PIP ... or, beilieve it or not, for construction.  As mentioned above, acquisition loans can go as high as 80% LTV and with some of our equity parnters deals can be structured as high as 90% with strong deals … (0 comments)

dallas: Commercial Loans - Multifamily - 09/01/15 12:26 PM

Commercial Loans for Multifamily Housing and Apartment Buildings
Commercial loans for multifamily housing and apartment buildings are becoming more prevalent and easier to qualify for as the housing market tightens and rents continue to rise.  Recent trend data still shows a housing shortage and tight residential lending criteria continue to force more of the population into rental units.
Recent changes from Freddie Mac and Fannie Mae have opened up commercial loans in the small balance loan category for multifamily and apartment communities.  From bridge loans to standard conventional commercial loans, commercial real estate investors are finding the door to commercial loans for multifamily and apartments is getting easier.
Commercial … (0 comments)

dallas: Bridge Loan - Multifamily Financing Facts - 08/24/15 03:46 AM
Bridge Loan Facts - Multifamily Financing
The bridge loan facts are the bridge loan facts and the fact is that in order to buy unstabilized apartment complexes or to buy down debt on a multifamily development you have to use a bridge loan.  We hear all the stories about brokers telling borrowers that they can get 7% bridge loan rates, 6% bridge loan rates and now even 5% rates that are interest only with up to 80% LTV to purchase distressed assets or to buy out their debt at a discount.
The simple truth is that in most cases these are lies told by brokers … (0 comments)

dallas: Bridge Loan - Apartment & Multifamily - 08/20/15 06:43 AM
Bridge Loan - Apartment & Multifamily Repositioning
Bridge loan lending can be a complex world filled with unscrupulous players charging high upfront fees and not delivering at the closing table.  Today there are rumored to be bridge loans for apartment buildings and multifamily development repositioning projects with rates in the 8-10% range. 
The reality is that a bridge loan with these rates are typically reserved for deals in the Top 5 major markets and for properties that have a loan to value of less than 50%.  Essentially, these deals represent little to no risk to the bridge loan investor. 
Quality Bridge Loan Investors (Lenders)
Quality bridge … (0 comments)

dallas: Bridge Loans for Commercial Real Estate - 07/01/15 02:37 AM
Bridge Loans for Commercial Real Estate - Acquisition & Rehab to 100% of Cost
Sound to good to be true?  Maybe it is and maybe it isn't, the devil is always in the details.   There are a lot of bridge lenders (... and pretenders ...) touting their bridge loan product with "100% of rehab cost" included.  Many brokers and borrowers are reading into this, thinking that the loan is a 100% LTV, however, closer examination reveals something entirely different.
Bridge loans for commercial real estate acquisition and rehab are coming back into the market at a very rapid pace and that is a … (0 comments)

dallas: Bridge Loans for Acquisitions and Rehabiliation - 06/22/15 07:51 AM
Bridge Loans - Acquisitions & Rehabilitation Funding
Bridge loans for the acquisition and rehabilitation of commercial or multifamily residential real estate is a fairly simple process when the correct funding partners are involved.  Understanding the intricacies of how to present the bridge loan opportunity to the bride loan lender is key to funding success.
Popular bridge loan products in today's market include commercial loans for office building acquisition and repositioning as well as loans for apartment buildings and multifamily residential building acquisition and repositioning.
The most successful projects with the highest loan to value ratios in today's market are for multifamily projects.  … (0 comments)

dallas: Multifamily Financing - FHA/HUD vs Freddie Mac - 06/13/15 05:18 AM
Multifamily Financing - FHA & HUD Programs
FHA and HUD have some fantastic programs to finance multifamily residential properties.  On the positive side they rates that can be sub 4% in some cases.  They also fix those rates for the entire term of 35 years!  That is amazing but it gets better, multifamily residential investors can get LTV (loan to value) ratios as high as 90%.  That's a low down payment of only 10% of the overall cost.
With all these great terms comes a serious downside.  The multifamily residential investor must commit the development to various types of rental assistance programs and in … (0 comments)

dallas: Bridge Loans & Commercial Real Estate Investment - 06/08/15 02:46 AM
Bridge Loans & CREI
Bridge loans are a necessary financial tool for any commercial real estate investment enterprise.  Often times commercial real estate investor frown upon the use of bridge loans.  The common complaint is the 'cost of the money' being to high.
However, when the cost of losing a transaction is calculated, all of the sudden a loan with a higher, interest-only, interest rate doesn't look so bad.  The point here is not to argue whether interest rates on bridge loans are high, we all can agree that they are some of the highest in the market today.  The problem is the … (0 comments)

dallas: Apartment Bridge Loans - Bridge Lending for Multifamily - 06/06/15 05:48 AM
Apartment Bridge Loans = Bridge Loans for Multifamily
Whether its a bridge loan for an apartment building purchase or a bridge loan for multifamily residential development re-positioning, most bridge loans take on the same characteristics.   When one thinks about bridge loans they should be thinking of a short term loan that helps them span a gap.
The gap can be simply from distressed asset purchase to stabilization or the bridge loan may be used for a quick close until some more patient money with better terms can be put in place.  Regardless of how one uses an apartment bridge loan or deploys bridge lending for multifamily … (0 comments)

dallas: Multifamily Financing and Apartment Loan Lenders - 06/04/15 07:48 AM
Multifamily Financing for Apartment Buildings and Apartment Complexes
Multifamily financing and apartment loans are confusing terms and many commercial real estate investors don't understand the difference between the two terms.  The dirty little secret is this... there is really  no difference!
If there is no difference between the basic apartment loan and standard multifamily financing then why do the two terms exist.  The terms exist because many real estate investors 'self-identify' in certain ways and multifamily financing and apartment loan lenders want to capture all those investors in need of a loan.
In general, those commercial real estate investors that invest in large and … (0 comments)

dallas: Multifamily Financing - The Slow No or A Quick Yes - How To Refinance - 06/02/15 07:05 AM
Multifamily Financing Do's & Don'ts of Refinance
Multifamily financing today is a hot commodity and it has gotten even hotter recently with the addition of certain programs that allow for the refinancing at rates as low as 2.875%!  But many refinances will fail for lack of knowledge or lack of preparation.
What should a real estate investor do when considering refinancing an apartment loan or multifamily financing?  The first step is understanding today's underwriter and the mentality that goes into the underwriting process.  No longer is it enough for the numbers to work... today's underwriters are looking for good partners.
Here is an excerpt from a recent underwriter guideline … (0 comments)

dallas: Apartment Loans - Small Balance Loans - 05/28/15 08:16 AM
Searching for apartment loans in the small balance loan category?  First understand the definition and what constitutes a small balance loan? 
Apartment loans and multifamily financing for loans less than $5 million has been difficult in recent years, especially those apartment loans with exceptionally low rates and competitive overall terms.  That has now changed!
Multifamily financing and small balance apartment loans are now an aggressive loan financing category with lenders fighting for the business.  Rates can be as low as 2.875% with fixed periods of up to 10 years, add to that a long amortization period and the newly minted small balance apartment loans become … (0 comments)