What's Closing Now - Bridge Loans!
Borrower owned a daycare in Las Vegas, NV.
She was an excellent operator with 700 a credit score.
She wanted to buy another daycare that she knew was being poorly run.
She was able to get the daycare for essentially free, just paying for the property of $750,000.
We could not move the SBA loan forward because she did not have two (2) years of tax returns. The borrower started her daycare in 2020 just before Covid hit. The business not only survived, but her 2021 and 2022 numbers were great. SHE DID NOT HAVE TIME TO FILE THE 2021 RETURNS AND CLOSE QUICKLY ENOUGH FOR THE SELLER. Hence, she needed bridge money. Enter…our fund.
The deal came in at the beginning of month and had to close by the 25th for the borrower to file for a necessary grant by the deadline of the 28th. We had to close in three (3) weeks. Since the take out loan was going to be an SBA loan, we were able to finance her bridge loan at the same high loan to a value of 85%! We were able to get her a bridge loan amount of $600,000.00 on a $750,000 real estate purchase.
We were able to close the loan fast and at a high loan to value because she had great credit, experience and good cash flow. Once she files her returns, it will be an easy refinance to SBA which I will facilitate for her. I underwrote the exit strategy and will help her with the refinance.
We got her loan closed in the three (3) week time frame. This borrower is expanding her business and because our payments are interest-only, she can afford the payment. Realtors win, the seller gets what they want and our borrower is happy and now hard at work building her daycare “empire”.
If you need to close fast on your SBA or conventional loan, give me a call at 512-358-1511 today or get started by filling out this form!
karen at applycommercialloans.com
Give me a CALL TODAY at 512-358-1511 or get started by filling out this form!