Hard Money Commercial Loans Can Be Your Secret to Success

Hard Money Commercial Loans Can Be Your Secret to Success

The compliance costs associated with the Dodd-Frank Act, the Patriot Act, the Federal Reserve’s Comprehensive Capital Analysis and Review and other regulatory constraints are high.

Those costs, combined with the longest stretch of low interest rates in modern history and overheated real estate markets, have made it more difficult than ever for traditional banks to lend to real estate investors, developers and small-business borrowers.

Additionally, banks — the traditional source of construction capital — in many parts of the country are offering smaller loans compared to the cost of development, when they offer to lend at all. As a result, literally hundreds of alternative lenders have rushed into the market to provide financing options for the borrowers left behind by traditional banks.

Winston Rowe and Associates serves an intermediary for alternative lenders, you can benefit tremendously from this shortfall in bank-financed deals by offering borrowers a quicker time to fund, with fewer constraints. According to a recent Wall Street Journal article, private lending has more than doubled in size over the last decade, surpassing the growth of public stocks and bonds. In addition, since 2016, the U.S. Small Business Administration (SBA) estimates that 80 percent of small-business loan applications have been rejected, leaving plenty of space in the market for alternative lenders to play a major role.

Alternative lending options (which include private lenders, online lenders, crowdfunding and peer-to-peer lending) have increased dramatically since the Great Recession. As a mortgage originator, finding ways to effectively tap into this expanding source of financing can help to bring plenty of new business opportunities your way in an increasingly competitive market.

Speedy decisions

Because alternative lenders are not subject to many of the regulatory mandates that banks face, they can deliver many valuable features not generally offered by banks. For brokers, advertising the many value-add opportunities available through these alternative financing sources will help entice borrowers in need.

Speed is among the perks typically available through alternative lenders. Generally, you can expect a fast “yes” or “no” decision on your loan application. Most private lenders have small loan committees, typically two or three members who meet several times a week. This means, in many cases, a loan decision can be made within 48 to 72 hours. What borrower doesn’t want a fast response to a request for financing?

Once a private lender decides it is interested in making a loan to a prospective borrower, the lender can generally issue a term sheet within a week or two. Banks can take months to decide whether or not they are even interested in making the loan in the first place. That can be a lifetime for a small business.

In addition, many private lenders have cash on hand that is available to be quickly deployed for a borrower’s immediate use — if all of the required due-diligence materials for underwriting are available without delay in an accurate and organized digital format. Speed is one of an alternative lender’s biggest assets. As a rule, it is the borrower who impedes the process by not being sufficiently ready and organized with the materials the alternative lender’s underwriting team needs to conduct due diligence, which significantly increases the time frame for transferring capital to the borrower.

Less red tape

If a bank is offering 60 percent loan-to-value (LTV) financing, chances are that a private alternative lender is likely going to be offering 70 percent and up to 90 percent LTV. This advantage to the borrower in having less skin in the game can be enticing, because it enables them to do more with their own capital.

Traditional banks also can be very particular about a borrower’s credit score, time in business, cash flow status and/or expertise in the business or real estate development for which funds are being sought. Those items are far less relevant to many private alternative lenders, which determine the level of perceived risk they’re willing to accept by understanding the value of the collateral that will protect them in the event of a default.

Because banks are heavily encumbered by numerous restrictions and regulations, substantially more is required of their borrowers — such as proving they are hitting sales numbers, keeping margins at a certain rate and that they haven’t lost any key customers. Private alternative lenders generally demand substantially less from borrowers and are simpler to deal with — from the perspectives of reporting, financial ratios, insurance requirements, equipment maintenance, permitted business lines and client concentrations.

Path to growth

Lending decisions made by traditional banks are often constrained by regulations, such as the Dodd-Frank Act, which stipulates that banks should not concentrate too much capital in loans in any particular asset class, for example. Private alternative lenders generally face far fewer restrictions and can lend as much capital as they wish across multiple industry sectors, such as multifamily real estate, the aviation industry or single-customer businesses.

Unlike traditional lenders, alternative lenders do not require a borrower to open a bank account with them or to fund that account with a certain dollar amount. Alternative lenders also may not have a bricks-and-mortar presence in the towns, cities and states where they make loans. In addition, alternative lenders can determine their own schedule for when and how a loan is repaid, which can reduce the monthly payment required for payback.

Along with generally being easier to work with than traditional banks, as well as providing borrowers with better loan-to-value ratios, alternative lenders also are cheaper in the long run than taking on an additional partner or investor. Who wants to give up ownership when they can avoid it?

These financing perks represent just a few of the benefits that alternative lending offers borrowers and the mortgage broker competing for that borrower’s business. Many borrowers aren’t in a position to get a bank loan, but they may well be perfect candidates for an alternative lender. What broker isn’t interested in exploring that opportunity? Best of all, traditional banks, in some cases, will help you pursue that opportunity as a broker.

When unable to initiate a loan internally, bankers still want to see their small-business borrowers successfully attain the capital they need to grow. By forming relationships with bankers, commercial mortgage brokers can find a healthy flow of lending leads as these situations develop. Prove that you can make bankers look like superstars to their customers by finding them financing, even if it’s through alternative lenders, and you’ll reap great benefits.

Hard Money Commercial Real Estate Property Funding No Upfront Fee

Commercial Hard Money Lenders

Winston Rowe and Associates is a premier source for hard money commercial loans, we understand even the most complex commercial hard money loan scenarios.

Underwriting a commercial hard money loan takes a knowledgeable team that has the experience to understand all aspects of the hard money loan request.  We have the proven track record as a premier hard money commercial capital source to help.

Apartment Building Boom Is Hitting A Ceiling After Five Years Of Increases – Winston Rowe and Associates

Winston Rowe and Associates

Apartment construction across the country has more than tripled since 2009. Last year developers started more than 350,000 multifamily housing units nationwide.
Analysts say that apartment construction increases should dwindle in the next two years. And a slowdown in Texas’ economy could play a part.

“My forecast is for a leveling — not a lot more growth,” said Dave Crowe, chief economist for the National Association of Home Builders, which is holding its annual meeting this week in Las Vegas. “We are at the level that can be sustained by the demand.”

Apartments accounted for about a third of total U.S. home construction in 2014.

In North Texas, the share was even higher. At the end of the year, more than 30,000 apartments were being built in the Dallas-Fort Worth area compared with about 26,000 single-family home starts in the area in 2014.

D-FW ranks fourth nationally for total apartment building permits.
Crowe said apartment construction is peaking because of construction constraints and a shift by some renters into home buying.house construction blueprint

“We are starting to see some of the older millennials moving to homeownership,” he said.

During recent years in most major cities, apartments have captured a larger than normal share of new households.
“Whatever the job growth has been, all of the newly formed households have become renters,” Crowe said.

He said that as renter’s age, they are more inclined to think about homeownership.

“They have expressed that as their ultimate desire,” Crowe said. “As they sustain some stability in their incomes and jobs, they will buy.”

‘Where we need to be’

Multifamily home starts rose by 16 percent in 2014 to about 352,000 units, based in large part on the large renter demand.

“I’m not expecting a significant amount of growth in 2015,” Crowe said. “We are where we need to be.”

Dallas-based apartment analyst Ron Witten with Witten Advisors thinks that the current apartment building boom around the country has peaked.

“We expect rental apartment starts to slow down slightly late this year, maybe off 5 percent from 2014,” Witten said.

“Fundamentals are still solid, but rising costs are shrinking development returns, which will make some proposed projects uneconomic.”

MPF Research is forecasting a slight drop in apartment building, too.

“We are calling for a slight pullback of 5 percent to 10 percent,” said Greg Willett, vice president with the Carrollton-based apartment consultant. “That really reflects expectations for Texas.

“We’re calling for a big drop in activity in Houston and mildly smaller start figures across D-FW, Austin and San Antonio,” Willett said. “Since Texas accounts for about 20 percent of the nation’s building in this development cycle, it would take big increases in late-recovery spots like Atlanta, Phoenix, Riverside and Las Vegas to completely counter less activity in the Texas markets.”

Projects on hold

While the drop in Dallas apartment building has more to do with higher construction and land costs, in Houston the dramatic fall in oil prices and layoffs by energy firms are reducing development.

Houston-based apartment architect Sanford Steinberg said he’s already seeing the impact of the energy sector pullback.

“Projects are being put on hold,” Steinberg said. “They are not killing the project but putting them on hold.

“In the last few years we have been going crazy building multifamily housing, not just in Houston but all over the country,” he said. “We could use a little slowdown right now.”

Crowe said that while construction is leveling, he’s still watching to see that developers don’t get too far ahead of tenant leasing.

“I worry about the multifamily sector overbuilding,” he said. “It’s the one residential sector that has the greatest access to credit.

“There is a history of builders building more because they can get credit than because they can fill up the units.”

Source: AAOA

Hard Money Small Business Loan No Upfront Fees

Hard Money 

Winston Rowe & Associates is a well established source for no upfront fee commercial loans with a focus on providing loan programs directly to small business owners who are unable to obtain traditional financing.

As a nationwide commercial financier, they understand small business lending needs and work hard to help their client’s leverage financing options to meet their short and long-term business goals.

Their typical loan programs range from $250,000 to $2,000,000.

Winston Rowe & Associates says “yes” when your local bank says “no.”

The reason? – They take a “common sense” approach to underwriting.

They’re able to make decisions on commercial real estate mortgages and business loans based on the borrower’s entire story, not just the numbers on paper.

Commercial Financing Solutions Include:

National Coverage

No Upfront Fees to Process Your Transaction

All Commercial Property Types Considered

Rental Home Portfolio Financing

Fast Hard Money Solutions

A key benchmark of Winston Rowe & Associates is they can provide a solution to clients within days, not weeks or months.

When you call Winston Rowe & Associates, a principal is ready to take your telephone call.

They can be reached at 248-246-2243 or check them out online at http://www.winstonrowe.com

Contact
248-246-2243
processing@winstonrowe.com

WHAT IS A HARD MONEY LOAN AND HOW DOES IT WORK

WHAT IS A HARD MONEY LOAN

A hard money loan is a specific type of asset-based loan financing through which a borrower receives funds secured by the value of a parcel of real estate. Hard money loans are typically issued by private investors or companies. Interest rates are typically higher than conventional commercial or residential property loans because of the higher risk taken by the lender.

Most hard money loans are used for projects lasting from a few months to a few years. Hard money is similar to a bridge loan, which usually has similar criteria for lending as well as cost to the borrowers.

The primary difference is that a bridge loan often refers to a commercial property or investment property that may be in transition and does not yet qualify for traditional financing, whereas hard money often refers to not only an asset-based loan with a high interest rate, but possibly a distressed financial situation, such as arrears on the existing mortgage, or where bankruptcy and foreclosure proceedings are occurring.

The qualifying criteria for a hard money loan varies widely by lender and loan purpose. Credit scores, income and other conventional lending criteria may be analyzed. However, most hard money lenders primarily qualify a loan amount based on the value of the real estate being collateralized.

Typically, the biggest loan one can expect would be between 65% and 75% of the property value. That is, if the property is worth $100,000, the lender would advance $65,000 – $70,000 against it. This low LTV (loan to value) provides added security for the lender, in case the borrower does not pay and they have to foreclose on the property.

Structuring Real Estate Bridge Loans

Bridge Loans

The term Bridge Loan is used to describe the type of funding a company receives when it needs to “bridge” the period of time needed to obtain a larger amount of funding. Usually the larger follow-on funding comes from another investor, not usually the same investor that provided the bridge funding. Also, the terms for each funding are structured differently. The bridge loan is frequently structured as a short term promissory note with a high interest rate. The investor or lender, also typically receives a small number of shares of stock or warrants in the companies as an equity kicker. The loan is then paid off in full once the larger funding transaction closes.

Some investors that provide a bridge loan to a company as one of their funding structures will usually help a company in need of bridge loan funding if the company meets their due diligence requirements. These types of funding transactions have become very popular over the years with, assuming that there is a solid subsequent funding source in place. The financing can be used for any number of reasons, such as acquisition funding, purchasing equipment accounts receivable financing and more.

Some investors specialize in providing bridge funding. They can even introduce a company to a larger investor or brokerage firm that they partner with who can help the company structure and line-up the larger subsequent financing, whether it is debt, equity or an asset based loan.

A bridge loan can be structured in a number of different ways. It can be structured as debt, equity or a combination of debt and equity. Every company and every situation usually presents itself with a different set of circumstances. The needs and requirements of the company should be understood by the investor, otherwise it can be a recipe for disaster.

There are some bridge loan investors that are just interested in doing the investment and getting out, ie., selling the shares as soon as possible. This can put too much downward pressure on the share price. It is best to make sure everyone understands what is going to happen after the funds have been provided to the company and the investor receives the shares.

Make sure your management team is thinking ahead and has the subsequent financing round in place otherwise you will not be able to attract a bridge loan funding-source. Although there are no guarantees that the subsequent funding round will close on time, try to limit the guess work. The two funding sources you are negotiating with (the bridge investor and subsequent round funder) are likely going to talk with each other to make sure both are board with the structure of the funding each will be providing. They are going to want to know the terms of their respective funding transactions. Also, equally as important, they will want to know the timing of those funding transactions. The bridge funder wants to limit his risk as much as possible, he wants to make sure the subsequent funding round is in place and will close quickly so that he limits his risk. The less contingencies to the subsequent funding closing on time or at all the better.

Always look for a bridge loan funder that can help you with subsequent financing rounds because this way both funding sources will be comfortable with each others investment positions. It is always best to find a good financing partner that is well-experienced when it comes to corporate funding transactions. Private investors tend not to be that knowledgeable with these types of transactions. Look for an investor that can either provide you with funding for subsequent rounds or can get you that second and third round of funding through relationships it has with partners or affiliates, otherwise your management team may have the unfortunate task of having to start the process all over again.

Hard Money Commercial Real Estate Property Financing Lending California

Hard Money Commercial Real Estate Property Financing

Winston Rowe and Associates provides their clients in California with access to the most advanced hard money loan products in the commercial real estate industry.

Winston Rowe and Associates is a unique type of commercial real estate finance firm, they do not charge any upfront fees like their competitors to review or perform due diligence for your transaction.

Advantages of No Upfront Fee Private Capital Loans from Winston Rowe and Associates:

All commercial property types considered, however no raw land please

No advance fees

Nationwide

Fast, reliable capital for time sensitive and opportunistic transactions

Capital for transitional or non-stabilized assets; can accommodate holdbacks for real estate that requires tenant improvements and leasing commissions or construction completion

Discounted Payoff Financing, no new cash required

Capital to owners repurchasing their existing debt

Capital to owners cashing out of one property to purchase another property

Capital for the acquisition of individual or pools of notes

Winston Rowe and Associates has some of the most aggressive rates and terms available, while managing every step of the financing through their advisory and due diligence processes from document collection to commitment negotiation and closing.

Winston Rowe and Associates always welcomes the opportunity to speak with clients directly. The can be contacted at 248-246-2243 or visit them on line at  http://www.winstonrowe.com

Winston Rowe & Associates provides no upfront or advance fee due diligence and advisory services in the following states.

Alabama, Alaska, Arizona, Arkansas, California, Colorado, Connecticut, Delaware, Florida, Georgia, Hawaii, Idaho, Illinois, Indiana, Iowa, Kansas, Kentucky, Louisiana, Maine,  Maryland, Massachusetts, Michigan, Minnesota, Mississippi, Missouri, Montana, Nebraska, Nevada, New Hampshire, New Jersey, New Mexico, New York, North Carolina, North Dakota, Ohio, Oklahoma, Oregon, Pennsylvania, Rhode Island, South Carolina, South Dakota, Tennessee, Texas, Utah, Vermont, Virginia, Washington, Washington DC, West Virginia, Wisconsin, Wyoming

What Is A Hard Money Commercial Loan & How It Works

Hard Money Commercial Loan & How It Works

What is so-called “hard money” mortgage lending? Are these loans hard to get? What’s the downside if you get one? How did the financial crisis affect this segment of the lending business?

Hard money loans are short term, and generally not “consumer related”; that is, they’re for business purposes; the rates are high, and they’re designed for entrepreneurs who need a bridge from, say, property acquisition to profit on the other side.

These loans serve those borrowers and properties that the Bank’s can’t handle, since the HM lenders can do what banks can’t. For example these non institutional capital sources still welcome asset based lending: loans based on the collateral property’s value rather than the borrower’s cash flow or liquidity. Once, banks could engage in this kind of lending, at least to a degree, but since the financial crisis, it’s a regulatory no-no.

A bank, thrift or credit union must base their loan to value ratio (LTV) on the lesser of acquisition cost or the current appraised value. HML’s can, and often do, base it on just the appraised value. This could mean that, if the lender says that 60 percent of appraisal is the maximum LTV, then a borrower could, on a $3,000,000 sales price, with a $4,000,000 appraisal, get at $2,400,000 loan, 80 percent of the price.

Surprisingly, this does occasionally happen, as banks and other lenders are unloading foreclosed commercial properties.

If private lenders are waiving the rules that banks are compelled to follow, then you can bet that price will rule the waves of capital coming out of the HML coffers. Rates run from 9.5 to 16 percent, origination fees (points) from 3 to 6 percent. Since the loans are short, generally two to three years, they’re interest only.

The income that a property can generate is a key element in its valuation, and that income from the property can have more relevance to a hard money lender than the borrower’s cash flow outside of the property.

Just like the banks, the hard money people got hit hard during the great meltdown. Since their loans were based on the inflated value of the real estate, they took a bath when the bubble burst. Commercial property values dropped even more precipitously than residential prices.

Now the wheel has turned, values are down, bargains abound for potential developers and landlords, while bank lending is constrained by restrictive regulation. HML’s are enjoying a bit of a boom as people long on experience and vision — but short on cash — snap up bargains in land and buildings being peddled by a previous cycle of lenders.

Should you look for a hard money loan when your bank turns you down? Well, one of the tried and true ploys of real estate investing is to buy cheap, develop, remodel or finish a project, and parcel it out to retail purchasers, either businesses or homeowners. Thirteen percent for a couple of years looks pretty good if you stand to make a cash on cash return of 50 percent or better.

Alabama, Alaska, Arizona, Arkansas, California, Colorado, Connecticut, Delaware, Florida, Georgia, Hawaii, Idaho, Illinois, Indiana, Iowa, Kansas, Kentucky, Louisiana, Maine, Maryland, Massachusetts, Michigan, Minnesota, Mississippi, Missouri, Montana, Nebraska, Nevada, New Hampshire, New Jersey, New Mexico, New York, North Carolina, North Dakota, Ohio, Oklahoma, Oregon, Pennsylvania, Rhode Island, South Carolina, South Dakota, Tennessee, Texas, Utah, Vermont, Virginia, Washington, Washington DC, West Virginia, Wisconsin, Wyoming

Document Requirements of Hard Money

Document Requirements of Hard Money 

Take photos of the exterior and interior of the property. Take extensive photos of the property areas that will be repaired , replaced or removed. Digital copies and a walk through video will suffice.

Contact a local contractor, handyman or repair specialist and get written estimates. Don’t worry if you plan on painting and doing the make-ready yourself – still get a bid for repairs to give to your potential hard money lender.

This is a given. They will need to see signed copy of the purchase contract. Also include the title company and special escrow funding instructions if any. It’s okay if you don’t have a signed copy as of yet if financing need to be established first. Showing them a copy of the contract you plan to use is still a smart move and will make your “property report” look compete and legit.

Have an insurance agent provide you a quote for liability and hazard insurance for your hard money lender. This will insure that the lender will be repaid in the event of severe act of vandalism or catastrophic lost that occurs.

If you have a “preliminary title report” or confirmation that there is not a clouded title share this information with the potential hard money lender. This document is a tricky one. Some hard money lenders “prefer” to work with certain Title Company. Don’t outright purchase title insurance or a full certified report – would not want you to waste money.

Hard Money Lenders of course have their own internal and unique set of requirements based on their lending area, property purchase price, commercial vs residential, and loan repayment terms.

How to Fund Fast with a Bridge Loan

How to Fund Fast with a Bridge Loan

Commercial real estate investors have not had an easy time with commercial financing since the real estate meltdown of 2008. And on a new commercial purchase, when everything is riding on the approval of a commercial bank loan, stakes are high.

On some larger commercial mortgage acquisitions for example, inexperienced buyers may lose earnest money deposits after long, drawn out due diligence and bank underwriting. Sophisticated commercial real estate investors may not allow this to happen to them, but with the uncertainty of commercial bank loans, lots of time and money may be lost. Commercial bridge loans are coming more into the mainstream of commercial financing these days, because of the uncertainly of commercial bank loans.

Although interest rates are higher on commercial bridge loans, these loans allow investors to acquire property quickly with less ‘to-do.’ But in order to close a bridge loan quickly, there are certain things to have in hand that are absolutely imperative:

Preliminary Title Report: out of all of the important items needed to close on a loan fast, this is probably the most important.

Financial Information: for both the property and the borrower(s).

Rent Roll and Leases: If the property is leased, an updated, certified rent roll will be required along with copies of all of the leases.

This is just a short list of 3 important things you’ll need, read the rest of the list at our blog, ‘Hard Money 101’ at the link above.

What else would you add to this list? Have you ever had your commercial financing fall through at the last moment and had to use a bridge loan? What items did your lender require to close your loan quickly?

Investors Use Hassle-Free Bridge Loan Instead of Bank Loans

Bridge Loan Instead of Bank Loans

When closing quickly is the primary goal for a real estate investor on a real estate transaction, having a bridge loan in place is crucial. Hard money loans have long given real estate investors a strategic advantage.

The availability of bridge loans has long been a tactic used by real estate investors to snatch up great properties at discounts. Banks simply cannot perform as quickly as bridge lenders when speed is an issue. These loans are hassle-free and are primarily asset based, which makes it easier for real estate investors to make new acquisitions quickly.

Private Money Mortgages Help Borrowers with Bad Credit

Private Money Mortgages Help Borrowers with Bad Credit

There are few options for home loans for borrowers who have had bankruptcies, foreclosures, or short sales in recent years. You can’t get a payday loan on a house, and hard money loans are also not an option. And with the new ‘Qualified Mortgage’ rules that went into effect in January, even the most eligible borrowers can no longer qualify for home loans. For this reason many private money lenders have started offering an alternative for these types of borrowers in the form of a private money mortgage.

Because these loans are not sold on the secondary market but rather are held by real estate lenders, they don’t fall under the same scrutiny that government backed loans do. For those borrowers with bad credit these types of loans allow them to purchase properties that they otherwise would not be able to qualify for. Because private money mortgages are not a standard issue type of loan, most people don’t understand how they work.

Hard Money No Upfront Fees

Hard Money No Upfront Fees

Winston Rowe & Associates, a national commercial hard money finance firm can quickly close on a property, acquire commercial real estate from foreclosure, or take advantage of a short-to-medium term opportunity and provide additional time for the customer to secure a permanent commercial mortgage loan.

Most banks do not offer the range of commercial real estate bridge loans that Winston Rowe & Associates provides because they typically do not fit the bank’s lending criteria due to the speculative nature of the property, the higher level of risk, lack of cash flow, and other factors.

Areas of Winston Rowe & Associates Hard Money Business Practice:

Bridge loans can fund in just a few weeks
Never an upfront or advance fee
They consider all commercial property types
Capital deployment starting at $250,000 through $100,000,000.
Discount bank note financing
Debtor in possession
Opportunistic real estate investments

Winston Rowe & Associates best business practices process ensures that their clients receive lighting fast funding with the most aggressive hard money rates and terms available, while managing every step of the financing process from document collection to commitment negotiation and closing.

Winston Rowe & Associates provides no upfront or advance fee commercial hard money bridge financing in the following states.

Alabama, Alaska, Arizona, Arkansas, California, Colorado, Connecticut, Delaware, Florida, Georgia, Hawaii, Idaho, Illinois, Indiana, Iowa, Kansas, Kentucky, Louisiana, Maine, Maryland, Massachusetts, Michigan, Minnesota, Mississippi, Missouri, Montana, Nebraska, Nevada, New Hampshire, New Jersey, New Mexico, New York, North Carolina, North Dakota, Ohio, Oklahoma, Oregon, Pennsylvania, Rhode Island, South Carolina, South Dakota, Tennessee, Texas, Utah, Vermont, Virginia, Washington, Washington DC, West Virginia, Wisconsin, Wyoming

No Upfront Fee Commercial Bridge Loan

No Upfront Fee Commercial Bridge Loan 

 

At Winston Rowe & Associates, they offer our clients access to the most aggressive loan products in the commercial real estate industry.

Whether you are in need of short term financing, such as a bridge loan or hard money loan, or your needs are more long term such as permanent financing, they work with clients to structure complex transactions that will meet or exceed expectations.

They are a national zero advance fee commercial real estate bridge financier that utilizes a best business practices model that enable their clients to move quickly and efficiently through the due diligence and underwriting processes.

Their clients and associates alike, count on Winston Rowe & Associates experience because it is so important and crucial to their success.

When you call Winston Rowe & Associates, a principal is always available to speak with prospective clients. They can be contacted at 248-246-2243.

The Competitive Winston Rowe & Associates Advantage:

National lending platform
Never an upfront or advance fees
All commercial property types considered
Purchase, refinance and cash out solutions

They also have many other solutions that meet almost every need.

Winston Rowe & Associates has some of the most aggressive rates and terms available, while managing every step of the financing process from document collection to commitment negotiation and closing.

Winston Rowe & Associates provides no upfront or advance fee due diligence and advisory firm in the following states.

Alabama, Alaska, Arizona, Arkansas, California, Colorado, Connecticut, Delaware, Florida, Georgia, Hawaii, Idaho, Illinois, Indiana, Iowa, Kansas, Kentucky, Louisiana, Maine, Maryland, Massachusetts, Michigan, Minnesota, Mississippi, Missouri, Montana, Nebraska, Nevada, New Hampshire, New Jersey, New Mexico, New York, North Carolina, North Dakota, Ohio, Oklahoma, Oregon, Pennsylvania, Rhode Island, South Carolina, South Dakota, Tennessee, Texas, Utah, Vermont, Virginia, Washington, Washington DC, West Virginia, Wisconsin, Wyoming

How To Structure A Commercial Bridge Loan – Winston Rowe & Associates

How To Structure A Commercial Bridge Loan

Winston Rowe & Associates, a no advance fee advisory and finance firm specializing in commercial real estate bridge loans nationwide.

They have prepared this news article to provide investors with the fundamentals of structuring a commercial bridge loan.

When speed and experience are important and crucial to your real estate success, contact Winston Rowe & Associates, a principle is always available to speak with prospective clients. They can be contacted at 248-246-2243 or email them at processing@winstonrowe.com

They also have many other commercial real estate financing solutions that meet almost every need. Check them out online at http://www.winstonrowe.com

Basic Bridge Loan Structures:

Commercial real estate bridge loans are utilized for distressed and higher risk purchasing, refinancing or holding properties that are being repositioned, re-tenanted, improved or otherwise redeveloped, that traditional banks won’t finance.

The typical structure for a bridge loan has a low loan to value, higher interest rates than a conventional loan and a very short term, hence the term “bridge”. This type of loan needs to have a clearly defined exit strategy for long term financing.

Purchase Bridge Loans:

When utilizing a bridge loan for the purchase of a distressed or higher risk property you need to realize that a cash down payment will be required, there will be personal FICO standards and your past business experience will be scrutinized by your potential lender.

Many new commercial real estate investors make the mistake of thinking that an appraisal or future completed value is the equity (down payment) into the purchase transaction if it is greater than the sales price.

This is never the case, here’s why. The actual value of the property is the sales price, not the asking (appraised) value or its future value. Think of buying a vintage car for one price them fixing it up and selling it for a higher price. Why would you over pay for the future value? The lender looks at the transaction the same way.

Another issue that new real estate investors run into is, trying to use a bridge loan as a down payment to purchase a commercial property trying to structure no money down transaction.

In the current market, you will need to have skin in the game (cash). All lenders will require that the investor share in the risk.

Refinance Bridge Loans:

It’s very common for an existing property owner to be approached by their current bank with a discount on their commercial mortgage.

There are many reasons for this. Local market conditions, a drop in occupancy, the repositioning of the banks portfolio or the borrower does not meet current personal or business credit requirements.

The initial response from the real estate owner is. I’ll just go down the street and apply for a new loan with another bank. After a number of bank applications, you quickly discover your property does not qualify for traditional financing. Even though you have a very low loan to value and you’ve been making your payments on time.

Here’s why. All FDIC banks have the same underwriting guidelines for commercial loans. When your application is reviewed buy a new bank the same reason(s) your current bank had used to ask you to seek new financing, will be utilized to decline your new request.

Your next option is going to be a short term bridge loan that will enable you to correct the decencies or to stabilize the property so it can qualify for more traditional financing, within the next 12 o 36 months.

Myths About Bridge Loans:

There are some common misconceptions that commercial real estate borrowers have when it comes to bridge loans.

The first one is. You don’t need good personal credit or bridge lenders never check credit.

All lenders, both private and agency will review your personal credit as part of their global due diligence and underwriting approach. If you have a low credit score, in the 500’s, no lender is going to consider you as potential client.

The second most common misconception is. The lender only considers the value of the property; hence I don’t have to have a down payment, or any kind of documentation.

Value and loan to value are only part of the equation. You will need a down payment. The lender is going to take a hard look at your previous business experience, business and personal financials as well as exit strategy.

The third most common misconception is. I don’t need to have any liquidity (cash) in my bank account because all my money is in the deal.

One of the first things all lenders review is a client’s personal financial statement. If you are not liquid a lender will be very hard pressed to approve your loan request. They take the position. They’re not a charity and if you’re out of cash you’re out of business.

The Winston Rowe & Associates Advantage:

Winston Rowe & Associates best business practices process ensures that their clients receive lighting fast funding with the most aggressive rates and terms available, while managing every step of the financing process from document collection to commitment negotiation and closing.

Winston Rowe & Associates provides no upfront or advance fee commercial bridge loans in the following states.

Alabama, Alaska, Arizona, Arkansas, California, Colorado, Connecticut, Delaware, Florida, Georgia, Hawaii, Idaho, Illinois, Indiana, Iowa, Kansas, Kentucky, Louisiana, Maine,  Maryland, Massachusetts, Michigan, Minnesota, Mississippi, Missouri, Montana, Nebraska, Nevada, New Hampshire, New Jersey, New Mexico, New York, North Carolina, North Dakota, Ohio, Oklahoma, Oregon, Pennsylvania, Rhode Island, South Carolina, South Dakota, Tennessee, Texas, Utah, Vermont, Virginia,   Washington, Washington DC, West Virginia, Wisconsin, Wyoming

Hard Money Loans Winston Rowe and Associates

Hard Money Loans Winston Rowe and Associates

Traditional bank loans are dependent on a multitude of documentable factors, including the borrower’s income, credit, tax returns, etc.

They require minimum credit scores (700 or above), and can take months to close.

Conversely, a commercial hard money loan relies solely on existing hard assets (real estate). As such, there are no credit score requirements and loan decisions happen much more quickly. Though higher risk means a higher interest rate, commercial hard money loans can be highly beneficial for nontraditional investment opportunities.

Do You Qualify?

Winston Rowe and Associates offers hard money loans to owners of commercial properties throughout the United States, including:

Five family units and higher
Retail properties
Industrial properties
Non-owner occupied 1-4 family properties in a corporate or LLC name
And other commercial properties, please call us to discuss
Interested? Apply for a hard money loan from Winston Rowe & Associates today.

APPLY ON LINE

Loan Terms:

First mortgage loans
Loan to value up to 65%
Loan terms of 1-3 years
Competitive rates

Alabama, Alaska, Arizona, Arkansas, California, Colorado, Connecticut, Delaware, Florida, Georgia, Hawaii, Idaho, Illinois, Indiana, Iowa, Kansas, Kentucky, Louisiana, Maine, Maryland, Massachusetts, Michigan, Minnesota, Mississippi, Missouri, Montana, Nebraska, Nevada, New Hampshire, New Jersey, New Mexico, New York, North Carolina, North Dakota, Ohio, Oklahoma, Oregon, Pennsylvania, Rhode Island, South Carolina, South Dakota, Tennessee, Texas, Utah, Vermont, Virginia, Washington, Washington DC, West Virginia, Wisconsin, Wyoming

THE TRUTH ABOUT HARD MONEY

HE TRUTH ABOUT HARD MONEY 

For some, the thought of hard money conjures up notions of loan sharks threatening to break your legs if you don’t pay on time. While not all hard money lenders are ideal business resources, most are knowledgeable, professional and can be used to great advantage in your real estate investing.

With the lack of conventional lending products available to real estate investors, most investors turn to hard money financing as a bridge loan between the acquisition of a property and the permanent financing. Of course, hard money is not cheap, but typically is well worth the money for the purpose it serves. In most areas, the more prominent hard money lenders charge around 5 points and 15% interest. However, with local networking you may find private lenders willing to charge less.

One of the biggest advantages of hard money is the ability to borrow funds for renovation expenses. Most investment properties have some equity potential, but the average home buyer is often discouraged by the less-than-attractive condition of the property. As investors we create margin by having the ability to find, acquire and renovate these properties. The ability to finance the purchase and repairs is key to this equation, and hard money is one tool that allows us to do just that.

In today’s market, an investor obtaining a conventional loan would expect to pay 20-25% down just to acquire the property, and then come up with out of pocket cash to complete renovations. As an alternative, an investor may be able to use hard money financing for the purchase and repairs, while having to place only 10% down on the total cost.

As a quick example, a $50,000 purchase needing $20,000 in repairs could potentially cost an investor $30,000 out of pocket using a conventional loan ($50,000*20% plus $20,000). However, if that investor uses hard money financing instead, the out of pocket cost may be more like $7,000 ($70,000* 10%). Even if an additional $5,000 is added to the equation to cover loan fees and closing costs for the hard money loan, most investors are perfectly willing to factor in this cost in exchange for the leverage hard money provides.

Once the property is acquired and renovated using hard money, the investor can then employ a conventional lender for the permanent financing. Since the renovations presumably have increased the value of the property, the refinancing lender can use the new appraised value in determining the investor’s maximum allowable loan amount. Typically, a conventional lender will allow financing up to 75% of this appraised value. Best case, the appraisal will be high enough so that the investor can refinance the balance of the hard money loan as well as closing costs without any additional money out of pocket.

Another quick example – Using the scenario above with a purchase price of $50,000 and repairs of $20,000, a good appraisal would be in the neighborhood of $100,000 or higher. If the appraisal comes in at $100,000, the lender may allow the investor to finance up to $75,000, which should be enough to pay off the balance of the hard money loan and cover any closing costs.

Hard Money Loans Without Upfront Fees – Winston Rowe & Associates

Hard Money Loans Without Upfront Fees – Winston Rowe & Associates

Winston Rowe & Associates is a equity based private and hard money funding source for commercial properties nationwide for sub-prime money borrowers who do not meet the stringent requirements of conventional bank underwriting guidelines.

Their excellent reputation as a private and hard money funding source has been built on our ability to provide fast financing solutions for borrowers who have come across challenging times and are in need of fast, creative financing solutions without regard to their FICO credit score.

Why Commercial Real Estate Investors Have Been Turning To Winston Rowe & Associates:

Hard Money Financing from $1,000,000 to $100,000,000

No Upfront or Advance Fees

Interest Rates Starting At 6.50%

Purchase, Refinance & Cash Out

No Recourse Available

Interest Only Option

Loan Amortizations Up to 30 Years

If you would like to learn more about hard money financing options for your business from Winston Rowe & Associates they can be reached at 248-246-2243

Winston Rowe & Associates provides no upfront or advance fee due diligence and advisory services in the following states.

Alabama, Alaska, Arizona, Arkansas, California, Colorado, Connecticut, Delaware, Florida, Georgia, Hawaii, Idaho, Illinois, Indiana, Iowa, Kansas, Kentucky, Louisiana, Maine, Maryland, Massachusetts, Michigan, Minnesota, Mississippi, Missouri, Montana, Nebraska, Nevada, New Hampshire, New Jersey, New Mexico, New York, North Carolina, North Dakota, Ohio, Oklahoma, Oregon, Pennsylvania, Rhode Island, South Carolina, South Dakota, Tennessee, Texas, Utah, Vermont, Virginia,   Washington, Washington DC, West Virginia, Wisconsin, Wyoming

Hard Money Loans without Upfront Fees – Winston Rowe & Associates

Hard Money Loans without Upfront Fees

Commercial real estate investors that have been turned down by the banks have been turning to Winston Rowe & Associates. A national no upfront fee hard money firm. They can be contacted at 248-246-2243

Winston Rowe & Associates is a equity based private and hard money funding source for commercial properties nationwide for sub-prime money borrowers who do not meet the stringent requirements of conventional bank underwriting guidelines.

Their excellent reputation as a private and hard money funding source has been built on our ability to provide fast financing solutions for borrowers who have come across challenging times and are in need of fast, creative financing solutions without regard to their FICO credit score.

Why Commercial Real Estate Investors Have Been Turning To Winston Rowe & Associates:

Hard Money Financing from $1,000,000 to $100,000,000

No Upfront or Advance Fees

Interest Rates Starting At 6.50%

Purchase, Refinance & Cash Out

No Recourse Available

Interest Only Option

Loan Amortizations Up to 30 Years

If you would like to learn more about hard money financing options for your business from Winston Rowe & Associates they can be reached at 248-246-2243

Winston Rowe & Associates provides no upfront or advance fee due diligence and advisory services in the following states.

Alabama, Alaska, Arizona, Arkansas, California, Colorado, Connecticut, Delaware, Florida, Georgia, Hawaii, Idaho, Illinois, Indiana, Iowa, Kansas, Kentucky, Louisiana, Maine, Maryland, Massachusetts, Michigan, Minnesota, Mississippi, Missouri, Montana, Nebraska, Nevada, New Hampshire, New Jersey, New Mexico, New York, North Carolina, North Dakota, Ohio, Oklahoma, Oregon, Pennsylvania, Rhode Island, South Carolina, South Dakota, Tennessee, Texas, Utah, Vermont, Virginia,   Washington, Washington DC, West Virginia, Wisconsin, Wyoming

Hard Money Apartment Loans – No Advance Fees Nationwide

Hard Money Apartment Loans

Need a commercial hard money apartment loan. Winston Rowe & Associates can get most loans funded in weeks not months. A principal is always ready to speak with potential clients at 248-246-2243

Winston Rowe & Associates is a premier nationwide mortgage lending source for multifamily properties they specialize in hard money loans, mezzanine & equity loans, bridge loans, loan discounts & extensions, as well as investment banking real estate loan programs.

When speed and experience are important and crucial to your commercial hard money investing success, a principal at Winston Rowe & Associates is always available to speak with prospective clients. They can be contacted at 248-246-2243

How Winston Rowe & Associates Can Help You:

Never an upfront or advance fee

All property types considered

National coverage

Hard money rates starting at 6.5%

Amortization up to 30 years

Discounted note payoff (DPO) financing

Debtor in possession financing (DIP)

Opportunistic investments

Balloon payments

Cash out refinance

Portfolio repositioning

Winston Rowe & Associates is committed to providing the best customer service with integrity, honesty and diligence.

Alabama, Alaska, Arizona, Arkansas, California, Colorado, Connecticut, Delaware, Florida, Georgia, Hawaii, Idaho, Illinois, Indiana, Iowa, Kansas, Kentucky, Louisiana, Maine, Maryland, Massachusetts, Michigan, Minnesota, Mississippi, Missouri, Montana, Nebraska, Nevada, New Hampshire, New Jersey, New Mexico, New York, North Carolina, North Dakota, Ohio, Oklahoma, Oregon, Pennsylvania, Rhode Island, South Carolina, South Dakota, Tennessee, Texas, Utah, Vermont, Virginia,   Washington, Washington DC, West Virginia, Wisconsin, Wyoming

 

 

Commercial Hard Money Loans In 10 Days No Advance Fees

Commercial Hard Money Loans

Winston Rowe & Associates is a leading hard money lending source specializing in commercial bridge loans for acquisition, construction, land, development, workouts, bankruptcies and foreclosures.

Their creative financing expertise enables them to close on equity-based commercial bridge loans of $1 million to over $50 million in as little as 10 business days.

Why commercial real estate investors have been turning to Winston Rowe & Associates.

No upfront or advance fees

Nationwide deployment

Purchase, refinance and cash out

No recourse loans available

Low hard money interest rates with high loan to values

Discount note pay off financing with no new cash

Debtor in possession bankruptcy financing

Emergency financing

Rehabilitation financing

When speed and experience are important and crucial to your commercial real estate investing success, a principal at Winston Rowe & Associates is always available to speak with prospective clients. They can be contacted at 248-246-2243

They have hard money commercial loans in the following states.

Alabama, Alaska, Arizona, Arkansas, California, Colorado, Connecticut, Delaware, Florida, Georgia, Hawaii, Idaho, Illinois, Indiana, Iowa, Kansas, Kentucky, Louisiana, Maine,  Maryland, Massachusetts, Michigan, Minnesota, Mississippi, Missouri, Montana, Nebraska, Nevada, New Hampshire, New Jersey, New Mexico, New York, North Carolina, North Dakota, Ohio, Oklahoma, Oregon, Pennsylvania, Rhode Island, South Carolina, South Dakota, Tennessee, Texas, Utah, Vermont, Virginia, Washington, Washington DC, West Virginia, Wisconsin, Wyoming

Hard Money Loans Without Upfront Fees – Winston Rowe & Associates

Hard Money Loans Without Upfront Fees

Commercial real estate investors that have been turned down by the banks have been turning to Winston Rowe & Associates. A national no upfront fee hard money firm.

They can be contacted at 248-246-2243.

Winston Rowe & Associates funding sources provide equity based private and hard money loans for commercial properties nationwide for sub-prime money borrowers who do not meet the stringent requirements of conventional bank underwriting guidelines.

Their excellent reputation as a private and hard money funding source has been built on its ability to provide fast financing solutions for borrowers who have come across challenging times and are in need of fast, creative financing solutions without regard to their FICO credit score.

Why Commercial Real Estate Investors Have Been Turning To Winston Rowe & Associates:

Hard Money Financing from $1,000,000 to $100,000,000

No Upfront or Advance Fees

Interest Rates Starting At 6.50%

Purchase, Refinance & Cash Out

No Recourse Available

Interest Only Option

Loan Amortizations Up to 30 Years

Winston Rowe & Associates provides no upfront or advance fee due diligence and advisory services in the following states.

Alabama, Alaska, Arizona, Arkansas, California, Colorado, Connecticut, Delaware, Florida, Georgia, Hawaii, Idaho, Illinois, Indiana, Iowa, Kansas, Kentucky, Louisiana, Maine,  Maryland, Massachusetts, Michigan, Minnesota, Mississippi, Missouri, Montana, Nebraska, Nevada, New Hampshire, New Jersey, New Mexico, New York, North Carolina, North Dakota, Ohio, Oklahoma, Oregon, Pennsylvania, Rhode Island, South Carolina, South Dakota, Tennessee, Texas, Utah, Vermont, Virginia,   Washington, Washington DC, West Virginia, Wisconsin, Wyoming

 

Auction Financing For Commercial Real Estate

Real Estate Investing

Commercial real estate investors purchasing property through on line auction web sites often find it difficult to obtain proof of funds documentation that will enable them to participate.

Winston Rowe & Associates, a national full service commercial finance firm specializes in working with experienced commercial real estate investors through all phases; from the initial proof of funds documentation, to the hard money (bridge) financing then finally the long term conventional financing.

Commercial Property Auction Investor Program Highlights:

Their capital deployment is nationwide and starts at Two Million Dollars with no upper limit

Never an upfront or advance fee to process your transaction

Investors must have a verifiable cash down payment

A proven best practices business model must be in place

Major metropolitan areas are preferred

All commercial property types are considered

Loan to values (LTV) start at 60%

This program is only for direct investors, no brokers please

Winston Rowe & Associates always welcomes the opportunity to speak with clients directly. The can be contacted at 248-246-2243

 

 

 

How To Structure A Commercial Bridge Loan – Winston Rowe & Associates

Structuring Commercial Real Estate Bridge Loans

 

Winston Rowe & Associates, a no advance fee advisory and finance firm specializing in commercial real estate bridge loans nationwide.

They have prepared this news article to provide investors with the fundamentals of structuring a commercial bridge loan.

When speed and experience are important and crucial to your real estate success, contact Winston Rowe & Associates, a principle is always available to speak with prospective clients. They can be contacted at 248-246-2243 or email them at processing@winstonrowe.com

They also have many other commercial real estate financing solutions that meet almost every need. Check them out online at http://www.winstonrowe.com

Basic Bridge Loan Structures:

Commercial real estate bridge loans are utilized for distressed and higher risk purchasing, refinancing or holding properties that are being repositioned, re-tenanted, improved or otherwise redeveloped, that traditional banks won’t finance.

The typical structure for a bridge loan has a low loan to value, higher interest rates than a conventional loan and a very short term, hence the term “bridge”. This type of loan needs to have a clearly defined exit strategy for long term financing.

Purchase Bridge Loans:

When utilizing a bridge loan for the purchase of a distressed or higher risk property you need to realize that a cash down payment will be required, there will be personal FICO standards and your past business experience will be scrutinized by your potential lender.

Many new commercial real estate investors make the mistake of thinking that an appraisal or future completed value is the equity (down payment) into the purchase transaction if it is greater than the sales price.

This is never the case, here’s why. The actual value of the property is the sales price, not the asking (appraised) value or its future value. Think of buying a vintage car for one price them fixing it up and selling it for a higher price. Why would you over pay for the future value? The lender looks at the transaction the same way.

Another issue that new real estate investors run into is, trying to use a bridge loan as a down payment to purchase a commercial property trying to structure no money down transaction.

In the current market, you will need to have skin in the game (cash). All lenders will require that the investor share in the risk.

Refinance Bridge Loans:

It’s very common for an existing property owner to be approached by their current bank with a discount on their commercial mortgage.

There are many reasons for this. Local market conditions, a drop in occupancy, the repositioning of the banks portfolio or the borrower does not meet current personal or business credit requirements.

The initial response from the real estate owner is. I’ll just go down the street and apply for a new loan with another bank. After a number of bank applications, you quickly discover your property does not qualify for traditional financing. Even though you have a very low loan to value and you’ve been making your payments on time.

Here’s why. All FDIC banks have the same underwriting guidelines for commercial loans. When your application is reviewed buy a new bank the same reason(s) your current bank had used to ask you to seek new financing, will be utilized to decline your new request.

Your next option is going to be a short term bridge loan that will enable you to correct the decencies or to stabilize the property so it can qualify for more traditional financing, within the next 12 o 36 months.

Myths About Bridge Loans:

There are some common misconceptions that commercial real estate borrowers have when it comes to bridge loans.

The first one is. You don’t need good personal credit or bridge lenders never check credit.

All lenders, both private and agency will review your personal credit as part of their global due diligence and underwriting approach. If you have a low credit score, in the 500’s, no lender is going to consider you as potential client.

The second most common misconception is. The lender only considers the value of the property; hence I don’t have to have a down payment, or any kind of documentation.

Value and loan to value are only part of the equation. You will need a down payment. The lender is going to take a hard look at your previous business experience, business and personal financials as well as exit strategy.

The third most common misconception is. I don’t need to have any liquidity (cash) in my bank account because all my money is in the deal.

One of the first things all lenders review is a client’s personal financial statement. If you are not liquid a lender will be very hard pressed to approve your loan request. They take the position. They’re not a charity and if you’re out of cash you’re out of business.

The Winston Rowe & Associates Advantage:

Winston Rowe & Associates best business practices process ensures that their clients receive lighting fast funding with the most aggressive rates and terms available, while managing every step of the financing process from document collection to commitment negotiation and closing.

Winston Rowe & Associates provides no upfront or advance fee commercial bridge loans in the following states.

Alabama, Alaska, Arizona, Arkansas, California, Colorado, Connecticut, Delaware, Florida, Georgia, Hawaii, Idaho, Illinois, Indiana, Iowa, Kansas, Kentucky, Louisiana, Maine,  Maryland, Massachusetts, Michigan, Minnesota, Mississippi, Missouri, Montana, Nebraska, Nevada, New Hampshire, New Jersey, New Mexico, New York, North Carolina, North Dakota, Ohio, Oklahoma, Oregon, Pennsylvania, Rhode Island, South Carolina, South Dakota, Tennessee, Texas, Utah, Vermont, Virginia,   Washington, Washington DC, West Virginia, Wisconsin, Wyoming

INDUSTRIAL PROPERTY HARD MONEY BRIDGE LOAN FUNDING

Real Estate Investing

Successful Industrial Building Bridge Funding By Winston Rowe & Associates

Winston Rowe & Associates, a national due diligence and advisory firm has recently facilitated the financing for a non owner occupied vacant industrial property in Elkhart IN.

Transaction Details:

The client approach Winston Rowe & Associates with a non bankable purchase financing request for a vacant industrial building. Through their extensive contact throughout the private capital markets. Winston Rowe & Associates was able to quickly provide a proposed bridge loan solution in just a few days, not weeks or months.

This was a typical hard to do deal that Winston Rowe & Associates sees every day. They were able to complete the initial due diligence, then move the financing request into underwriting in days.

The client had request a Ten day close. Winston Rowe & Associates was able to meet this dead line and did provide the funding within the clients time frame objectives.

Winston Rowe & Associates provide commercial real estate financing solutions in the ensuing states.

Alabama, Alaska, Arizona, Arkansas, California, Colorado, Connecticut, Delaware, Florida, Georgia, Hawaii, Idaho, Illinois, Indiana, Iowa, Kansas, Kentucky, Louisiana, Maine,  Maryland, Massachusetts, Michigan, Minnesota, Mississippi, Missouri, Montana, Nebraska, Nevada, New Hampshire, New Jersey, New Mexico, New York, North Carolina, North Dakota, Ohio, Oklahoma, Oregon, Pennsylvania, Rhode Island, South Carolina, South Dakota, Tennessee, Texas, Utah, Vermont, Virginia, Washington, Washington DC, West Virginia, Wisconsin, Wyoming

California Commercial Hard Money Bridge Loans

Access to the most aggressive commercial bridge (gap) loan products in the commercial real estate industry.

Whether you are in need of short term financing, such as a bridge loan or hard money loan or your needs are more long term such as construction or permanent financing.

Winston Rowe & Associates has strong relationships with a finite number of direct private capital, private equity, hedge funds, agency investors and regional and national commercial banks, each with a highly targeted financing practice.

They also have many other solutions that meet almost every need. Check them out online at http://www.winstonrowe.com

Private Money & Hard Money Bridge Loan Solutions:

• Never an upfront or an advance fee

• Nationwide coverage

• All commercial property types considered

• Loan to value up to 65%

• Interest rates starting at 8%

• Time sensitive solutions are welcome

When speed and experience are important and crucial to your commercial real estate investing success, a principal at Winston Rowe & Associates is always available to speak with prospective clients.

They can be contacted at 248-246-2243 or email them at processing@winstonrowe.com

Hard Money No Upfront Fees

Winston Rowe & Associates is a national hard money (private money) commercial real estate finance firm. They provide clients with both debt and equity capital nationwide.

Offering a variety of loan programs, terms and commercial loan rates, whether you are purchasing a new property or refinancing one that you currently own, they want to be your commercial lender.

Prospective clients that would like to learn more about Winston Rowe & Associates can contact them at 248-246-2243 or visit them on line at http://www.winstonrowe.com

At Winston Rowe & Associates, their primary objective is to provide the most reliable and efficient means of sourcing both debt and equity for your commercial real estate loans. Recognizing that people and relationships drive this business, they are staffed with some of the industry’s most committed professionals.

Why Winston Rowe & Associates:

No Upfront or Advance Fees
National Coverage
Minimum Loan Amount $1,000,000 with no Limit
Hard Money Available For Fast Close
International Private Equity Lending Platform
Conventional Loan Programs Available
SBA Programs

Winston Rowe & Associates has an excellent knowledge based investor resource for commercial real estate valuation and market analysis located at:

http://www.winstonrowe.com/Free_Real_Estate_Resources.html

Alabama, Alaska, Arizona, Arkansas, California, Colorado, Connecticut, Delaware, Florida, Georgia, Hawaii, Idaho, Illinois, Indiana, Iowa, Kansas, Kentucky, Louisiana, Maine,  Maryland, Massachusetts, Michigan, Minnesota, Mississippi, Missouri, Montana, Nebraska, Nevada, New Hampshire, New Jersey, New Mexico, New York, North Carolina, North Dakota, Ohio, Oklahoma, Oregon, Pennsylvania, Rhode Island, South Carolina, South Dakota, Tennessee, Texas, Utah, Vermont, Virginia,   Washington, Washington DC, West Virginia, Wisconsin, Wyoming

No Upfront Fee Hard Money Commercial Real Estate Loans

HARD MONEY  NO UPFRONT FEES

Winston Rowe & Associates is a leading commercial real estate financing that provides customized commercial hard money financing solutions to real estate professionals, investors and end users taking advantage of current market opportunities.

Their primary goal is to provide secured commercial real estate and bridge loans quickly, efficiently, and at competitive rates. Winston Rowe & Associates has the in-depth industry knowledge and experience to navigate the current market and provide value to both developers and real estate investors of all types.

Winston Rowe & Associates offers borrowers a range of commercial funding solutions including bridge loans, foreclosure acquisition lines of credit and debtor in possession financing on industrial, retail, office, self-storage, mobile home parks, industrial and other commercial properties in all major metropolitan areas nationwide.

CRE Financing Solutions From Winston Rowe & Associates:

No Upfront or Advance Fees

Loan Amounts Starting at $1,000,000

Purchase, Refinance and Cash Out Available

National Coverage

Funding in Four Weeks of Less Possible

They always welcome the opportunity to speak with clients directly. You can contact them at 248-246-2243 or visit them on line at http://www.winstonrowe.com

When it comes to getting a commercial real estate project funded or securing a much needed bridge loan in today’s tight markets, Winston Rowe & Associates offerings are unparalleled, and their professionalism is unmatched.

Winston Rowe & Associates has non investment commercial real estate consulting and advisory services in the following states.

Alabama, Alaska, Arizona, Arkansas, California, Colorado, Connecticut, Delaware, Florida, Georgia, Hawaii, Idaho, Illinois, Indiana, Iowa, Kansas, Kentucky, Louisiana, Maine,  Maryland, Massachusetts, Michigan, Minnesota, Mississippi, Missouri, Montana, Nebraska, Nevada, New Hampshire, New Jersey, New Mexico, New York, North Carolina, North Dakota, Ohio, Oklahoma, Oregon, Pennsylvania, Rhode Island, South Carolina, South Dakota, Tennessee, Texas, Utah, Vermont, Virginia, Washington, Washington DC, West Virginia, Wisconsin, Wyoming

New York Hard Money Loans No Advance Fees Winston Rowe and Associates

New York Hard Money

Of all the hard money capital sources in NYC, Winston Rowe & Associates is please to announce some of the fastest and most flexible financing.

Commercial real estate investors have been turning to Winston Rowe & Associates because there are times when bank processing time or stringent lending standards just won’t do.

Winston Rowe & Associates can offer you privately issued, asset-based loans underwritten on the value of hard assets. In most cases, this means using real estate rather than credit history to qualify for loans.

New York Hard Money Commercial Loan Highlights:

Loans starting at $500,000 through $100,000,000

First mortgage loans

Loan to value up to 65%

Loan terms of 1-3 years

Interest rates start at 6.5%

All commercial property types considered

Winston Rowe and Associates has no advance fee commercial real estate financing solutions in the following states.

Alabama, Alaska, Arizona, Arkansas, California, Colorado, Connecticut, Delaware, Florida, Georgia, Hawaii, Idaho, Illinois, Indiana, Iowa, Kansas, Kentucky, Louisiana, Maine,  Maryland, Massachusetts, Michigan, Minnesota, Mississippi, Missouri, Montana, Nebraska, Nevada, New Hampshire, New Jersey, New Mexico, New York, North Carolina, North Dakota, Ohio, Oklahoma, Oregon, Pennsylvania, Rhode Island, South Carolina, South Dakota, Tennessee, Texas, Utah, Vermont, Virginia, Washington, Washington DC, West Virginia, Wisconsin, Wyoming

Announcing Hard Money Commercial Loans No Advance Fees

HARD MONEY LENDERS ONLINE

Of all the hard money capital sources in NYC, Winston Rowe & Associates is please to announce some of the fastest and most flexible financing.

Commercial real estate investors have been turning to Winston Rowe & Associates because there are times when bank processing time or stringent lending standards just won’t do.

Winston Rowe & Associates can offer you privately issued, asset-based loans underwritten on the value of hard assets. In most cases, this means using real estate rather than credit history to qualify for loans.

New York Hard Money Commercial Loan Highlights:

  • Loans starting at $500,000 through $100,000,000
  • First mortgage loans
  • Loan to value up to 65%
  • Loan terms of 1-3 years
  • Interest rates start at 6.5%
  • All commercial property types considered

When speed and experience are important and crucial to your commercial investing success, a principal at Winston Rowe & Associates is always available to speak with prospective clients.

They can be contacted at 248-246-2243

No Upfront Fees Hard Money Commercial Property Loans From Winston Rowe & Associates

Commercial Property Loans

Winston Rowe & Associates, a national no advance fee due diligence firm that specializes in assisting commercial real estate investors that have been turned down by traditional banks and funding institutions.

Commercial real estate investors have been turning to Winston Rowe & Associates because they have fast, innovative and flexible commercial loan solutions that typically take banks months to close. In many cases they can develop a solution for clients in weeks, not months.

They have hard money capital to deploy in all 50 States, starting at $500,000. through $100,000,000.

Winston Rowe & Associates Has Hard Money Commercial Property Loans For:

Portfolio Repositioning

Apartment Buildings

Office Buildings

Medical Centers

Strip Malls

Shopping Centers

Hospitality

Car Washes

Assisted Living Facilities

Bank Discount Note Financing with No New Cash Required

Debtor in Possession Chapter 11

They always welcome the opportunity to speak with clients directly. You can contact them at 248-246-2243 or visit them on line at http://www.winstonrowe.com

Winston Rowe & Associates has hard money commercial property loans in the following states.

Alabama, Alaska, Arizona, Arkansas, California, Colorado, Connecticut, Delaware, Florida, Georgia, Hawaii, Idaho, Illinois, Indiana, Iowa, Kansas, Kentucky, Louisiana, Maine,  Maryland, Massachusetts, Michigan, Minnesota, Mississippi, Missouri, Montana, Nebraska, Nevada, New Hampshire, New Jersey, New Mexico, New York, North Carolina, North Dakota, Ohio, Oklahoma, Oregon, Pennsylvania, Rhode Island, South Carolina, South Dakota, Tennessee, Texas, Utah, Vermont, Virginia, Washington, Washington DC, West Virginia, Wisconsin, Wyoming

Hard Money Bridge Loans No Upfront Fees

Hard Money Bridge Loans No Upfront Fees

 

Winston Rowe & Associates, a leading hard money firm specializing in commercial bridge loans for acquisition, refinances bankruptcies and foreclosures.

Their creative financing expertise enables them to quickly find solutions equity-based commercial bridge loans of $1 million to over $50 million in as little as 5 days,

Winston Rowe & Associates allows borrowers with assets to get the hard money commercial loans they need super-fast. So, no matter where in the USA you do business, they can make getting a hard money loan fast and easy.

If you would like to learn more about commercial bridge financing options for your business from Winston Rowe & Associates you can call them at 248-246-2243, a principal is always ready to speak with prospective clients. Or you can check them out online at http://www.winstonrowe.com

Winston Rowe & Associates Program Highlights:

No Upfront or Advance Fees

National Coverage

All Commercial Property Types Considered

Amortization Interest Only

Interest Rates Starting at 6.5%

Loan Terms from 12 to 60 Months

Winston Rowe & Associates has strong relationships with a finite number of direct private capital, private equity, hedge funds, agency investors and regional and national commercial banks, each with a highly targeted financing practice.

They have a best business practices model ensures that their clients receive lighting fast funding with the most aggressive rates and terms available, while managing every step of the financing process from document collection to commitment negotiation and closing.

Winston Rowe & Associates provides no upfront or advance fee commercial real estate hard money bridge loans in the following states.

Alabama, Alaska, Arizona, Arkansas, California, Colorado, Connecticut, Delaware, Florida, Georgia, Hawaii, Idaho, Illinois, Indiana, Iowa, Kansas, Kentucky, Louisiana, Maine,  Maryland, Massachusetts, Michigan, Minnesota, Mississippi, Missouri, Montana, Nebraska, Nevada, New Hampshire, New Jersey, New Mexico, New York, North Carolina, North Dakota, Ohio, Oklahoma, Oregon, Pennsylvania, Rhode Island, South Carolina, South Dakota, Tennessee, Texas, Utah, Vermont, Virginia,   Washington, Washington DC, West Virginia, Wisconsin, Wyoming

Hard Money Bridge Loans No Upfront Fees

Hard Money Asset Based Lending

Asset-based, hard money loans are made by private money lenders which are non-institutional (non-bank) capital sources, generally secured by a note and deed of trust, for the purpose of funding a real estate transaction.

They use a very strict set of rules regarding the collateral status of the physical assets being used to obtain a loan.

What is Hard Money Used For:

This type of financing is used for high risk business transactions that traditional banks or institutions will not lend on.

For example; Chapter 11 Bankruptcy, commercial property that is vacant or needs rehabilitation and other types of high risk business ventures, turnaround situations, short-term bridge financing and for investors who want to purchase properties to fix and flip.

Types of Collateral Used:

Asset based lending comprises business or a real estate loan secured by the liquidation value of their assets, generally at quick fire sale values.

A recipient receives this form of financing by offering real estate, inventory, accounts receivable and/or other balance-sheet assets as collateral.

Common assets that are provided as collateral for a hard money loan include physical assets like real estate, such as land and physical properties, company inventory and manufacturing equipment, or physical commodities.

If the borrower fails to repay the loan or defaults, the hard money lender can seize the collateral and sell the assets in order to recoup its loan amount.

In many cases the collateral to secure the loan is two times the value of the loan; hence the hard money lender will make a substantial profit even if the loan defaults.

Due Diligence and Underwriting:

Prior to authorizing a loan, lenders require a relatively lengthy due diligence process, which includes the inspection of the real estate, balance sheet, ledgers and assets to calculate the value of a company’s allowable borrowing capacity.

Costs associated with this analysis vary, but common charges include site visits, collateral evaluations and interest costs.

Hard Money Lending Source:

The objective at Winston Rowe & Associates is to add value to a client’s commercial real estate acquisition or refinance by offering a wide range of hard money, asset based financing solutions for; apartment buildings, hotels, shopping centers, office buildings, industrial property, raw land, medical offices, manufactured home developments and construction projects.

Hard Money Commercial Loans No Upfront Fees

Hard Money Commercial Loans No Upfront Fees

Asset-based, hard money loans are made by private money lenders which are non-institutional (non-bank) capital sources, generally secured by a note and deed of trust, for the purpose of funding a real estate transaction.

They use a very strict set of rules regarding the collateral status of the physical assets being used to obtain a loan.

What is Hard Money Used For:

This type of financing is used for high risk business transactions that traditional banks or institutions will not lend on.

For example; Chapter 11 Bankruptcy, commercial property that is vacant or needs rehabilitation and other types of high risk business ventures, turnaround situations, short-term bridge financing and for investors who want to purchase properties to fix and flip.

Types of Collateral Used:

Asset based lending comprises business or a real estate loan secured by the liquidation value of their assets, generally at quick fire sale values.

A recipient receives this form of financing by offering real estate, inventory, accounts receivable and/or other balance-sheet assets as collateral.

Common assets that are provided as collateral for a hard money loan include physical assets like real estate, such as land and physical properties, company inventory and manufacturing equipment, or physical commodities.

If the borrower fails to repay the loan or defaults, the hard money lender can seize the collateral and sell the assets in order to recoup its loan amount.

In many cases the collateral to secure the loan is two times the value of the loan; hence the hard money lender will make a substantial profit even if the loan defaults.

Due Diligence and Underwriting:

Prior to authorizing a loan, lenders require a relatively lengthy due diligence process, which includes the inspection of the real estate, balance sheet, ledgers and assets to calculate the value of a company’s allowable borrowing capacity.

Costs associated with this analysis vary, but common charges include site visits, collateral evaluations and interest costs.

Hard Money Lending Source:

The objective at Winston Rowe & Associates is to add value to a client’s commercial real estate acquisition or refinance by offering a wide range of hard money, asset based financing solutions for; apartment buildings, hotels, shopping centers, office buildings, industrial property, raw land, medical offices, manufactured home developments and construction projects.

They can be contacted at 248-246-2243 or visit them on line at http://www.winstonrowe.com

Hard Money Asset Based Lending

Hard Money Asset Based Lending

Asset-based, hard money loans are made by private money lenders which are non-institutional (non-bank) capital sources, generally secured by a note and deed of trust, for the purpose of funding a real estate transaction.

They use a very strict set of rules regarding the collateral status of the physical assets being used to obtain a loan.

What is Hard Money Used For:

This type of financing is used for high risk business transactions that traditional banks or institutions will not lend on.

For example; Chapter 11 Bankruptcy, commercial property that is vacant or needs rehabilitation and other types of high risk business ventures, turnaround situations, short-term bridge financing and for investors who want to purchase properties to fix and flip.

Types of Collateral Used:

Asset based lending comprises business or a real estate loan secured by the liquidation value of their assets, generally at quick fire sale values.

A recipient receives this form of financing by offering real estate, inventory, accounts receivable and/or other balance-sheet assets as collateral.

Common assets that are provided as collateral for a hard money loan include physical assets like real estate, such as land and physical properties, company inventory and manufacturing equipment, or physical commodities.

If the borrower fails to repay the loan or defaults, the hard money lender can seize the collateral and sell the assets in order to recoup its loan amount.

In many cases the collateral to secure the loan is two times the value of the loan; hence the hard money lender will make a substantial profit even if the loan defaults.

Due Diligence and Underwriting:

Prior to authorizing a loan, lenders require a relatively lengthy due diligence process, which includes the inspection of the real estate, balance sheet, ledgers and assets to calculate the value of a company’s allowable borrowing capacity.

Costs associated with this analysis vary, but common charges include site visits, collateral evaluations and interest costs.

Hard Money Lending Source:

The objective at Winston Rowe & Associates is to add value to a client’s commercial real estate acquisition or refinance by offering a wide range of hard money, asset based financing solutions for; apartment buildings, hotels, shopping centers, office buildings, industrial property, raw land, medical offices, manufactured home developments and construction projects.

They can be contacted at 248-246-2243 or visit them on line at http://www.winstonrowe.com

Debtor in Possession Bankruptcy Financing Winston Rowe & Associates

WINSTON ROWE & ASSOCIATES

Commercial real estate investors who are in US District Court Debtor in Possession (DIP) Chapter 11 have been turning to Winston Rowe & Associates.

When experience is important and timing is crucial to emerge from Chapter 11, contact Winston Rowe & Associates, a principle is always available to speak with prospective clients. They can be contacted at 248-246-2243 or email them at processing@winstonrowe.com

They also have many other commercial real estate financing solutions that meet almost every need.

Why commercial real estate are turning to Winston Rowe & Associates.

Winston Rowe & Associates best business practices process ensures that their clients receive lighting fast DIP exit funding with the most aggressive rates and terms available, while managing every step of the debtor in possession (DIP) financing process from document analysis to commitment negotiation and closing.

Debtor in Possession (DIP) financing solutions include.

• National coverage

• Never and upfront or advance fee

• They have financing for all commercial real estate property types.

• Loan amount range from $250,000 through $100,000,000

• Most DIP exit financing can be completed in just a few weeks with a complete submission

• They are experts in prepackaged DIP financing

They have some of the highest loan to values available

 

Tips For Getting A Commercial Bridge Loan – With No Advance Fees

Tips For Getting A Commercial Bridge Loan

Winston Rowe & Associates, a no upfront fee finance and advisory firm receives many inquiries from real estate investors every day concerning hard money bridge loans for their commercial properties from around the country.

Most are surprised by the more extensive supporting documentation for the initial due diligence and subsequent underwriting process.

This news article addresses the best uses for commercial real estate bridge loans and what real estate investors should expect when applying.

Commercial real estate investors who would like more information about Winston Rowe & Associates commercial bridge loan financing can contact them at 248-246-2243 or email to; processing@winstonrowe.com

Also investors can check them out online at http://www.winstonrowe.com

What is a commercial bridge loan?

Fist thing to understand about bridge loans is that they are short term loans. Generally between 12 to 36 months with interest rates at double digits.

The advantage of commercial bridge financing is that they fund very quickly, weeks not months and in some cases a bridge loan can be funded in just a few days.

Winston Rowe & Associates uses a best business practices streamlined business model that enables clients to quickly submit a bridge loan request for consideration, before they need to provide the bulk of the supporting documentation.

The most common reasons for bridge financing are the ensuing:

• Distressed real estate acquisitions

• Opportunistic purchases

• Chapter 11 Debtor in Possession (DIP) exit financing

• Bank Payoff Discounted note (DPO) financing

• Upcoming balloon payment

• Cash out refinance

• Repositioning a commercial portfolio

Winston Rowe & Associates provides no upfront or advance fee commercial real estate asset back bridge loans in the following states.

Alabama, Alaska, Arizona, Arkansas, California, Colorado, Connecticut, Delaware, Florida, Georgia, Hawaii, Idaho, Illinois, Indiana, Iowa, Kansas, Kentucky, Louisiana, Maine,  Maryland, Massachusetts, Michigan, Minnesota, Mississippi, Missouri, Montana, Nebraska, Nevada, New Hampshire, New Jersey, New Mexico, New York, North Carolina, North Dakota, Ohio, Oklahoma, Oregon, Pennsylvania, Rhode Island, South Carolina, South Dakota, Tennessee, Texas, Utah, Vermont, Virginia,   Washington, Washington DC, West Virginia, Wisconsin, Wyoming

Commercial Bridge Loan Financing In 2 Weeks Winston Rowe & Associates

Winston Rowe & Associates is pleased to announce their lighting fast nationwide commercial real estate bridge loan financing.

They are a recognized as a national leader in creative short-term financing solutions throughout the commercial real estate industry.

Prospective clients can speak directly to a principle at Winston Rowe & Associates at 248-246-2243 or email them at processing@winstonrowe.com or check them out online at http://www.winstonrowe.com

Winston Rowe & Associates utilizes a private banking best business practices business model which streamlines the due diligence and underwriting process for clients. At Winston Rowe & Associates their primary focus is on loans that need immediate financing, with no upfront or advance fees.

Winston Rowe & Associates Bridge Loan Financing Solutions:

• Never an upfront or advance fee

• All commercial property types considered

• Funding in two weeks (with complete submission)

• All 50 states

• Loan amounts start at $500,000 with no upper limit

• Financing available for purchase, refinance and cash out

• The maximum loan to value is 65%

• The most competitive interest rates in the industry

Winston Rowe & Associates provides no upfront or advance fee commercial bridge loans in the following states.

Alabama, Alaska, Arizona, Arkansas, California, Colorado, Connecticut, Delaware, Florida, Georgia, Hawaii, Idaho, Illinois, Indiana, Iowa, Kansas, Kentucky, Louisiana, Maine,  Maryland, Massachusetts, Michigan, Minnesota, Mississippi, Missouri, Montana, Nebraska, Nevada, New Hampshire, New Jersey, New Mexico, New York, North Carolina, North Dakota, Ohio, Oklahoma, Oregon, Pennsylvania, Rhode Island, South Carolina, South Dakota, Tennessee, Texas, Utah, Vermont, Virginia,   Washington, Washington DC, West Virginia, Wisconsin, Wyoming

Fast Commercial Bridge Loans No Upfront Fees – Winston Rowe & Associates

Commercial real estate investors looking for fast commercial bridge loan financing have been turning to Winston Rowe & Associates.

They are a national no advance fee commercial real estate finance and advisory firm. If you would like more information about Winston Rowe & Associates commercial bridge loan financing can contact them at 248-246-2243 or email to; processing@winstonrowe.com

Also investors can check them out online at http://www.winstonrowe.com

Winston Rowe & Associates best business practices process ensures that their clients receive lighting fast funding with the most aggressive rates and terms available, while managing every step of the financing process from document collection to commitment negotiation and closing.

Who needs a commercial bridge loan?

Commercial bridge loans are short-term commercial loans collateralized by real commercial property that bridge gaps for you as the owner that arise between you and your next commercial real estate transaction.

Commercial bridge loan financing empowers you to alleviate liquidity constraints and immediately capitalize upon time-sensitive opportunities while they exist with the utmost speed & efficiency.

This type of commercial real estate financing can be of use to you or your Company when you are experiencing certain events that call for short-term cash infusions such as when you have a balloon payment due on an existing loan or when you need to take down a piece of commercial property quickly.  

Bridge loans are one of Winston Rowe & Associates niches, and we can generally offer commercial bridge loan funding within 3-7 days on a case-by-case basis, depending upon your requirements.

Winston Rowe & Associates provides no upfront or advance fee commercial real estate asset back bridge loans in the following states.

Alabama, Alaska, Arizona, Arkansas, California, Colorado, Connecticut, Delaware, Florida, Georgia, Hawaii, Idaho, Illinois, Indiana, Iowa, Kansas, Kentucky, Louisiana, Maine,  Maryland, Massachusetts, Michigan, Minnesota, Mississippi, Missouri, Montana, Nebraska, Nevada, New Hampshire, New Jersey, New Mexico, New York, North Carolina, North Dakota, Ohio, Oklahoma, Oregon, Pennsylvania, Rhode Island, South Carolina, South Dakota, Tennessee, Texas, Utah, Vermont, Virginia,   Washington, Washington DC, West Virginia, Wisconsin, Wyoming

Strategies For Getting A Hard Money Loan With No Upfront Fees

There are many hard money commercial bridge lenders out there that provide financing only after the client pays an advance or upfront fee for due diligence.

Winston Rowe & Associates, does things differently. They do not charge upfront or advance fees while providing honest, straight forward answers concerning your loan request.

When you call Winston Rowe & Associate – you will talk with directly to a principle at 248-246-2243.

You can also email them at processing@winstonrowe.com or check them out online at http://www.winstonrowe.com

When do you need a hard money loan?

Commercial real estate (CRE) investors apply for hard money for various reasons; a great deal on a distressed property, cash out for improvements, a balloon payment is coming due, exit financing for Chapter 11 or the bank offered you a big discount on your commercial mortgage.

What to expect from a hard money lender.

Many CRE investors are surprised by the more stringent underwriting requirements by hard money lenders in today’s capital markets.

In the old days (just a few years ago), investors could count on money based on the future value of a commercial property, with little or no money down. Those days are over.

Supporting documentation requirements to expect from a hard money lender.

Hard money lenders are just like every other lender, bank or financial institution. They like to make loans to people that will pay them back with interest, so they can make a profit for their investors.

The first thing a hard money lender is going to look at is the exit strategy, which is how are you going to make your monthly mortgage payments.

The second area they will analyze is your overall financial health, business experience and things like prior litigation, bankruptcies and business partnerships.

Expect to provide personal and business tax returns; credit reports and a personal financial statement just to name a few.

There are also Home Land Security requirements when applying for all loans now.

You will be asked to provide photo copies of your driver’s license or passport and sign an IRS 4506 form so a lender can reconcile your tax returns. If needed.

General terms and conditions to expect.

Hard money lenders are in the secondary loan market, there is little to no regulation of this industry. They are lenders for higher risk transactions, hence deals the retail banks don’t want.

The money is expensive; expect to pay double digit interest rates, higher than normal down payments and a very short loan term somewhere between 12 to 36 months.

With Winston Rowe & Associates ™ streamlined best business practices model they are able to complete most bridge loan transactions in two weeks.

They provide no upfront or advance fee commercial bridge loans in the following states.

Alabama, Alaska, Arizona, Arkansas, California, Colorado, Connecticut, Delaware, Florida, Georgia, Hawaii, Idaho, Illinois, Indiana, Iowa, Kansas, Kentucky, Louisiana, Maine,  Maryland, Massachusetts, Michigan, Minnesota, Mississippi, Missouri, Montana, Nebraska, Nevada, New Hampshire, New Jersey, New Mexico, New York, North Carolina, North Dakota, Ohio, Oklahoma, Oregon, Pennsylvania, Rhode Island, South Carolina, South Dakota, Tennessee, Texas, Utah, Vermont, Virginia,   Washington, Washington DC, West Virginia, Wisconsin, Wyoming

Commercial Bridge Loan Financing In 2 Weeks Winston Rowe & Associates

Winston Rowe & Associates is pleased to announce their lighting fast nationwide commercial real estate bridge loan financing.

They are a recognized as a national leader in creative short-term financing solutions throughout the commercial real estate industry.

Prospective clients can speak directly to a principle at Winston Rowe & Associates at 248-246-2243 or email them at processing@winstonrowe.com or check them out online at http://www.winstonrowe.com

Winston Rowe & Associates utilizes a private banking best business practices business model which streamlines the due diligence and underwriting process for clients. At Winston Rowe & Associates their primary focus is on loans that need immediate financing, with no upfront or advance fees.

Winston Rowe & Associates Bridge Loan Financing Solutions:

• Never an upfront or advance fee

• All commercial property types considered

• Funding in two weeks (with complete submission)

• All 50 states

• Loan amounts start at $500,000 with no upper limit

• Financing available for purchase, refinance and cash out

• The maximum loan to value is 65%

• The most competitive interest rates in the industry

Winston Rowe & Associates provides no upfront or advance fee commercial bridge loans in the following states.

Alabama, Alaska, Arizona, Arkansas, California, Colorado, Connecticut, Delaware, Florida, Georgia, Hawaii, Idaho, Illinois, Indiana, Iowa, Kansas, Kentucky, Louisiana, Maine,  Maryland, Massachusetts, Michigan, Minnesota, Mississippi, Missouri, Montana, Nebraska, Nevada, New Hampshire, New Jersey, New Mexico, New York, North Carolina, North Dakota, Ohio, Oklahoma, Oregon, Pennsylvania, Rhode Island, South Carolina, South Dakota, Tennessee, Texas, Utah, Vermont, Virginia,   Washington, Washington DC, West Virginia, Wisconsin, Wyoming

Hard Money Loans Nationwide No Upfront Fees

WINSTON ROWE & ASSOCIATES

PROCESSING@WINSTONROWE.COM

248-246-2243

At Winston Rowe & Associates, a no upfront fee a full service hard money commercial bridge lender offers their clients direct access to the most aggressive and competitive bridge loan solutions in the commercial real estate industry.

Whether you are in need of short term financing, such as a private capital, private equity and traditional permanent financing, they work with clients to structure a transaction that will meet or exceed their expectations.

Hard Money Bridge Loan Solutions:

  • Never an Upfront or Advance Fee To Process Your Request
  • Close in Two Weeks (complete submission required)
  • National Coverage
  • All Commercial Real Estate Types Considered
  • Maximum Loan to Value 60% Loan Amounts
  • From $400,000 to 500,000,000.
  • Purchase, Refinance and Cash Out

Winston Rowe & Associates provides no upfront fee commercial loans in the following states.

Alabama, Alaska, Arizona, Arkansas, California, Colorado, Connecticut, Delaware, Florida, Georgia, Hawaii, Idaho, Illinois, Indiana, Iowa, Kansas, Kentucky, Louisiana, Maine, Maryland, Massachusetts, Michigan, Minnesota, Mississippi, Missouri, Montana, Nebraska, Nevada, New Hampshire, New Jersey, New Mexico, New York, North Carolina, North Dakota, Ohio, Oklahoma, Oregon, Pennsylvania, Rhode Island, South Carolina, South Dakota, Tennessee, Texas, Utah, Vermont, Virginia, Washington, Washington DC, West Virginia, Wisconsin, Wyoming

Commercial Bridge Loans & How They Work Winston Rowe & Associates

COMMERCIAL BRIDGE LOANS WEBISTE

Winston Rowe & Associates, a national no advance fee commercial bridge loan advisory and finance firm that can close a loan in 2 weeks has prepared this article to provide prospective clients with a general understanding of how bridge loans work and potential applications.

Commercial real estate investors can always speak to a principle at Winston Rowe & Associates for more information about commercial real estate bridge loans at 248-246-2243 or email them at processing@winstonrowe.com or check them out online at http://www.winstonrowe.com

Why Commercial Real Estate Investors Need Bridge Loans:

You have a commercial building that is providing positive income. The financing is set to run out in 2013. The Congress and the President have finally pushed us off the fiscal cliff and you realize that the balloon payment you have coming due in 2013 is going to be nearly impossible to meet. What do you do?

Banks aren’t lending, and your loan has been rejected by your current bank, you can always opt for private firms for commercial bridge loans.

Winston Rowe & Associates is there to help. They have a two week close time frame and aggressive pricing – with zero advance fees.

Opportunistic Real Estate Investing:

Winston Rowe & Associates receives many inquiries from prospective commercial real estate investors that have an opportunity to purchase a property at a deep discount. This may be at a balloon payment, auction, or a bank note or a property in bankruptcy.

Stabilizing Cash Out Bridge Loans with Takeout Financing:

Commercial real estate investors that need cash for various reasons such as; improvements, back taxes, or to acquire another commercial asset can utilize bridge loans for this purpose. Many conventional commercial mortgages do not allow for cash out.

Winston Rowe & Associates are experts with these types of transactions. They have solutions for short term bridge loans with takeout conventional financing – that can close in 2 weeks.

Bridge Loan Structures:

While you can comfortably expect to get a maximum 60% to 65% loan to value financing for your income producing commercial real estate investment through a bridge loan and 50% for vacant property or unimproved land.

The minimum loan amount for commercial bridge loans with Winston Rowe & Associates is $1,000,000 with no limit. Apart from investing in commercial real estate, these funds can also be used toward foreclosure or debtor in possession chapter 11 bankruptcy bail out, partner buyouts, rehabilitating existing properties, for discounted mortgage buybacks, etc.

What Types of Properties Can Get a Bridge Loan:

Commercial real estate investors have been turning to Winston Rowe & Associates because of their private banking approach, Midwestern values and deep understanding of the commercial real estate vertical markets.

Winston Rowe & Associates specializes in all types of commercial properties for bridge loans however; income producing apartment and multi-family buildings, shopping centers, retail strips, office buildings and industrial buildings are the favorite types.

However, they consider all commercial real estate types.

They have no upfront fee national commercial bridge loan finance programs in the following states.

Alabama, Alaska, Arizona, Arkansas, California, Colorado, Connecticut, Delaware, Florida, Georgia, Hawaii, Idaho, Illinois, Indiana, Iowa, Kansas, Kentucky, Louisiana, Maine,  Maryland, Massachusetts, Michigan, Minnesota, Mississippi, Missouri, Montana, Nebraska, Nevada, New Hampshire, New Jersey, New Mexico, New York, North Carolina, North Dakota, Ohio, Oklahoma, Oregon, Pennsylvania, Rhode Island, South Carolina, South Dakota, Tennessee,   Texas, Utah, Vermont, Virginia,   Washington, Washington DC, West Virginia, Wisconsin, Wyoming

Close In Two Weeks Bridge Loans Interest Only No Up Front Fee

WINSTON ROWE & ASSOCIATES

Winston Rowe & Associates a national no upfront fee commercial real estate advisory and finance firm is pleased to announce commercial bridge loans that can fund in as little as two weeks.

Unlike most commercial bridge loan programs, Winston Rowe & Associates utilizes a streamlined due diligence and underwriting process that does not include the usual advance fees that most bridge lenders charge just to look at a prospective clients transaction.

Commercial real estate investors can always speak to a principle at Winston Rowe & Associates for more information about commercial real estate bridge loans at 248-246-2243 or email them at processing@winstonrowe.com  or check them out online at http://www.winstonrowe.com

Winston Rowe & Associates 2 Week Close Bridge Loan Overview:

• Never an upfront or advance fee

• Financing available in all 50 states

• All commercial property types considered

• Purchase, refinance and cash out options available

• Bridge loans starting at $1,000,000. with no limit

• Interest only rates starting at 8%

• The loan term can be up to 36 months

• Loan to value is 60%

Savvy apartment building investors have been turning to Winston Rowe & Associates because of their private banking approach, Midwestern values and deep understanding of the commercial real estate vertical markets.

They have no upfront fee commercial bridge loan finance programs in the following states.

Alabama, Alaska, Arizona, Arkansas, California, Colorado, Connecticut, Delaware, Florida, Georgia, Hawaii, Idaho, Illinois, Indiana, Iowa, Kansas, Kentucky, Louisiana, Maine, Maryland, Massachusetts, Michigan, Minnesota, Mississippi, Missouri, Montana, Nebraska, Nevada, New Hampshire, New Jersey, New Mexico, New York, North Carolina, North Dakota, Ohio, Oklahoma, Oregon, Pennsylvania, Rhode Island, South Carolina, South Dakota, Tennessee, Texas, Utah, Vermont, Virginia, Washington, Washington DC, West Virginia, Wisconsin, Wyoming

No Upfront Fee Hard Money Loans Explained Winston Rowe & Associates

HARD MONEY LENDERS ONLINE WITH NO UPFRONT FEES

Contact Winston Rowe and Associates

248-246-2243

Winston Rowe & Associates is a unique type of commercial real estate finance firm, they do not charge any upfront fees like their competitors to review or perform due diligence for your transaction, because of this savvy investors have been turning to them for their financing needs.

If you would like more information about Winston Rowe & Associates, you can contact them at 248-246-2243 or visit them online at http://www.winstonrowe.com

Overview

A hard money loan is a specific type of financing in which a borrower receives funds based on the value of a specific parcel of real estate. Hard money loans are typically issued at much higher interest rates than conventional commercial or residential property loans and are almost never issued by a commercial bank or other deposit institution.

Hard money is similar to a bridge loan which usually has similar criteria for lending as well as cost to the borrowers. The primary difference is that a bridge loan often refers to a commercial property or investment property that may be in transition and not yet qualifying for traditional financing. Whereas hard money often refers to not only an asset-based loan with a high interest rate, but can signify a distressed financial situation such as arrears on the existing mortgage or bankruptcy and foreclosure proceedings are occurring.

Loan Structure

A hard money loan is a species of real estate loan collateralized against the quick-sale value of the property for which the loan is made. Most lenders fund in the first lien position, meaning that in the event of a default, they are the first creditor to receive remuneration. Occasionally, a lender will subordinate to another first lien position loan; this loan is known as a mezzanine loan or second lien.

Hard money lenders structure loans based on a percentage of the quick-sale value of the subject property. This is called the loan-to-value or LTV ratio and typically hovers between 50-65% of the market value of the property. For the purpose of determining an LTV, the word “value” is defined as “today’s purchase price.” This is the amount a lender could reasonably expect to realize from the sale of the property in the event that the loan defaults and the property must be sold in a one- to four-month timeframe. This value differs from a market value appraisal, which assumes an arms-length transaction in which neither buyer nor seller is acting under duress.

Below is an example of how a commercial real estate purchase might be structured by a hard money lender:

65% Hard money (Conforming loan)
20% Borrower equity (cash or additional collateralized real estate)
15% Seller carry back loan or other subordinated (mezzanine) loan

History of Hard Money

Hard Money is a term that is used almost exclusively in the United States and Canada where these types of loans are most common. In commercial real estate, hard money developed as an alternative “last resort” for property owners seeking capital against the value of their holdings. The industry began in the late 1950s when the credit industry in the US underwent drastic changes (see FDIC: Evaluating the Consumer Revolution).

The hard money industry suffered severe setbacks during the real estate crashes of the early 1980s and early 1990s due to lenders overestimating and funding properties at well over market value. Since that time, lower LTV rates have been the norm for hard money lenders seeking to protect themselves against the market’s volatility. Today, high interest rates are the mark of hard money loans as a way to protect the loans and lenders from the considerable risk that they undertake.

Cross Collateralizing a Hard Money Loan

In some cases the low loan to values do not facilitate a loan sufficient to pay the existing mortgage lender off in order for the hard money lender to be in first lien position. Because securing the property is the basis of making a hard money loan, the first lien position of the lender is usually always required. As an alternative to a potential shortage of equity beneath the minimum lender Loan To Value guidelines, many hard money lender programs will allow a “Cross Lien” on another of the borrowers properties. The cross collateralization of more than one property on a hard money loan transaction, is also referred to as a “blanket mortgage”. Not all homeowners have additional property to cross collateralize. Cross collateralizing or blanket loans are more frequently used with investors on Commercial Hard Money Loan programs.

Commercial Hard Money

Commercial hard money is similar to traditional hard money, but may sometimes be more expensive as the risk is higher on investment property or non-owner occupied properties. Commercial Hard Money Loans may not be subject to the same consumer loan safeguards as a residential mortgage may be in the state the mortgage is issued. Commercial hard money loans are often short term and therefore interchangeably referred to as bridge loans or bridge financing.

Commercial Hard Money Lender or Bridge Lender Programs

Commercial Hard Money Lender and Bridge Lender programs are similar to traditional hard money in terms of loan to value requirements and interest rates. A commercial hard money or bridge lender will usually be a strong financial institution that has large deposit reserves and the ability to make a discretionary decision on a non-conforming loan.

These borrowers are usually not conforming to the standard Fannie Mae, Freddie Mac or other residential conforming credit guidelines. Since it is a commercial property, they usually do not conform to a standard commercial loan guideline either. The property and or borrowers may be in financial distress, or a commercial property may simply not be complete during construction, have its building permits in place, or simply be in good or marketable conditions for any number of reasons.

Winston Rowe & Associates also has an excellent knowledge based free investor resource for real estate investing, valuation and analysis located at:

Winston Rowe & Associates offers the best in traditional and private and hard money commercial real estate financing programs. When you call them with a loan scenario, they quickly assess what type of financing is appropriate for your situation. Then utilize their direct access to the most aggressive investor sources in the world to create a customized financing solution for clients.

Winston Rowe & Associates has loans in the following states.

Alabama, Alaska, Arizona, Arkansas, California, Colorado, Connecticut, Delaware, Florida, Georgia, Hawaii, Idaho, Illinois, Indiana, Iowa, Kansas, Kentucky, Louisiana, Maine,  Maryland, Massachusetts, Michigan, Minnesota, Mississippi, Missouri, Montana, Nebraska, Nevada, New Hampshire, New Jersey, New Mexico, New York, North Carolina, North Dakota, Ohio, Oklahoma, Oregon, Pennsylvania, Rhode Island, South Carolina, South Dakota, Tennessee,   Texas, Utah, Vermont, Virginia,   Washington, Washington DC, West Virginia, Wisconsin, Wyoming

National Commercial Bridge Loans Direct No Advance Fees Winston Rowe & Associates

National Commercial Bridge Loans No Advance Fees

Winston Rowe & Associate has prepared this article to provide commercial real estate investors with the fundamentals of bridge loans.

Hard money bridge loans are a small corner of the alternative financing niche market. While many of their characteristics are similar to those of typical hard money loans, they have a specific purpose that is much narrower. By understanding how to use these bridge loans, many real estate investors are able to leverage their existing cash and take advantage of the current real estate market.

Bridge loans, by definition, are short term loans meant to bridge a gap during which traditional financing is unavailable. Often times this can be a construction period, or for commercial properties, a stabilization period. These loans are not meant to be long term solutions, but rather short term “bridges” to allow a project to move forward to the next phase.

Winston Rowe & Associates Bridge Loan Criteria:

Minimum Loan Amounts: One Million Dollars
Loan to Value Up To 75%
Interest Rates Start At 10%
Terms Range from One Month to Three Years

These days, many bridge loans made are through private money lenders or advisory firms like Winston Rowe & Associates. Banks and institutions are still conservative in their lending. If a transaction falls outside their strict guidelines, they will not make the loan. By their nature, projects seeking bridge financing do fall outside normal guidelines, and so those in need of this short term financing are turning to hard or private money lenders to provide it.

One of the most common forms of bridge financing these days is the short term rehab or fix and flip transaction. These are typically properties in need of repairs, and often the repairs needed are of the nature that a bank will not make a loan unless the repair is completed.

For real estate investors, this presents an opportunity to purchase a property below market value, obtain short term financing to fix the issues and bring it up to par so the banks will lend on it, then resell the property to a consumer who is then able to obtain bank financing.

In this situation, working with a hard money bridge loan allows an individual to finance a distressed property that the general public cannot obtain financing on. This is a large benefit to working with private lenders, as they do not have the same requirements that the banks do when making loans.

At Winston Rowe & Associates, their primary objective is to provide the most reliable and efficient means of sourcing both debt and equity for your commercial real estate loans. Recognizing that people and relationships drive this business, they are staffed with some of the industry’s most committed professionals.

Winston Rowe & Associates provides no upfront fee commercial financing in the ensuing states.

Alabama, Alaska, Arizona, Arkansas, California, Colorado, Connecticut, Delaware, Florida, Georgia, Hawaii, Idaho, Illinois, Indiana, Iowa, Kansas, Kentucky, Louisiana, Maine,  Maryland, Massachusetts, Michigan, Minnesota, Mississippi, Missouri, Montana, Nebraska, Nevada, New Hampshire, New Jersey, New Mexico, New York, North Carolina, North Dakota, Ohio, Oklahoma, Oregon, Pennsylvania, Rhode Island, South Carolina, South Dakota, Tennessee, Texas, Utah, Vermont, Virginia,   Washington, Washington DC, West Virginia, Wisconsin, Wyoming

Detailed Hard Money Loan Definition Winston Rowe & Associates

Winston Rowe & Associates is a unique type of commercial real estate finance firm, they do not charge any upfront fees like their competitors to review or perform due diligence for your transaction, because of this savvy investors have been turning to them for their financing needs.

If you would like more information about Winston Rowe & Associates, you can contact them at 248-246-2243 or visit them online at http://www.winstonrowe.com

Overview

A hard money loan is a specific type of financing in which a borrower receives funds based on the value of a specific parcel of real estate. Hard money loans are typically issued at much higher interest rates than conventional commercial or residential property loans and are almost never issued by a commercial bank or other deposit institution.

Hard money is similar to a bridge loan which usually has similar criteria for lending as well as cost to the borrowers. The primary difference is that a bridge loan often refers to a commercial property or investment property that may be in transition and not yet qualifying for traditional financing. Whereas hard money often refers to not only an asset-based loan with a high interest rate, but can signify a distressed financial situation such as arrears on the existing mortgage or bankruptcy and foreclosure proceedings are occurring.

Loan Structure

A hard money loan is a species of real estate loan collateralized against the quick-sale value of the property for which the loan is made. Most lenders fund in the first lien position, meaning that in the event of a default, they are the first creditor to receive remuneration. Occasionally, a lender will subordinate to another first lien position loan; this loan is known as a mezzanine loan or second lien.

Hard money lenders structure loans based on a percentage of the quick-sale value of the subject property. This is called the loan-to-value or LTV ratio and typically hovers between 50-65% of the market value of the property. For the purpose of determining an LTV, the word “value” is defined as “today’s purchase price.” This is the amount a lender could reasonably expect to realize from the sale of the property in the event that the loan defaults and the property must be sold in a one- to four-month timeframe. This value differs from a market value appraisal, which assumes an arms-length transaction in which neither buyer nor seller is acting under duress.

Below is an example of how a commercial real estate purchase might be structured by a hard money lender:

65% Hard money (Conforming loan)

20% Borrower equity (cash or additional collateralized real estate)

15% Seller carryback loan or other subordinated (mezzanine) loan

History of Hard Money

Hard Money is a term that is used almost exclusively in the United States and Canada where these types of loans are most common. In commercial real estate, hard money developed as an alternative “last resort” for property owners seeking capital against the value of their holdings. The industry began in the late 1950s when the credit industry in the US underwent drastic changes (see FDIC: Evaluating the Consumer Revolution).

The hard money industry suffered severe setbacks during the real estate crashes of the early 1980s and early 1990s due to lenders overestimating and funding properties at well over market value. Since that time, lower LTV rates have been the norm for hard money lenders seeking to protect themselves against the market’s volatility. Today, high interest rates are the mark of hard money loans as a way to protect the loans and lenders from the considerable risk that they undertake.

Cross Collateralizing a Hard Money Loan

In some cases the low loan to values do not facilitate a loan sufficient to pay the existing mortgage lender off in order for the hard money lender to be in first lien position. Because securing the property is the basis of making a hard money loan, the first lien position of the lender is usually always required. As an alternative to a potential shortage of equity beneath the minimum lender Loan To Value guidelines, many hard money lender programs will allow a “Cross Lien” on another of the borrowers properties. The cross collateralization of more than one property on a hard money loan transaction, is also referred to as a “blanket mortgage”. Not all homeowners have additional property to cross collateralize. Cross collateralizing or blanket loans are more frequently used with investors on Commercial Hard Money Loan programs.

Commercial Hard Money

Commercial hard money is similar to traditional hard money, but may sometimes be more expensive as the risk is higher on investment property or non-owner occupied properties. Commercial Hard Money Loans may not be subject to the same consumer loan safeguards as a residential mortgage may be in the state the mortgage is issued. Commercial hard money loans are often short term and therefore interchangeably referred to as bridge loans or bridge financing.

Commercial Hard Money Lender or Bridge Lender Programs

Commercial Hard Money Lender and Bridge Lender programs are similar to traditional hard money in terms of loan to value requirements and interest rates. A commercial hard money or bridge lender will usually be a strong financial institution that has large deposit reserves and the ability to make a discretionary decision on a non-conforming loan. These borrowers are usually not conforming to the standard Fannie Mae, Freddie Mac or other residential conforming credit guidelines. Since it is a commercial property, they usually do not conform to a standard commercial loan guideline either. The property and or borrowers may be in financial distress, or a commercial property may simply not be complete during construction, have its building permits in place, or simply be in good or marketable conditions for any number of reasons.

Some Private Investment groups or Bridge Capital Groups will require joint venture or sale-lease back requirements to the riskiest transactions that have a high likelihood of default. Private Investment groups may temporarily offer bridge or hard money, allowing the property owner to buy back the property within only a certain time period. If the property is not bought back by purchase or sold within the time period they Commercial Hard Money Lender may keep the property at the agreed to price.

Traditional Commercial Hard Money loan programs are very high risk and have a higher than average default rate. If the property owner defaults on the commercial hard money loan, they may lose the property to foreclosure. If they have exhausted bankruptcy previously, they may not be able to gain assistance through bankruptcy protection. The property owner may have to sell the property in order to satisfy the lien from the commercial hard money lender, and to protect the remaining equity on the property.

Legal & Regulatory Issues

From inception, the hard money field has always been formally unregulated by state or federal laws, although some restrictions on interest rates (usury laws) by state governments restrict the rates of hard money such that operations in several states, including Tennessee and Arkansas are virtually untenable for lending firms.

Commercial Lending Industry

Thanks to freedom from regulation, the commercial lending industry operates with particular speed and responsiveness, making it an attractive option for those seeking quick funding. However, this has also created a highly predatory lending environment where many companies refer loans to one another (brokering), increasing the price and loan points with each referral.

There is also great concern about the practices of some lending companies in the industry who require upfront payments to investigate loans and refuse to lend on virtually all properties while keeping this fee. Borrowers are advised not to work with hard money lenders who require exorbitant upfront fees prior to funding in order to reduce this risk. If you feel you have been the victim of unfair practices, contact your state’s attorney general office or the office of the state in which the lender operates.

Hard Money Rate

Hard Money Mortgage loans are generally more expensive than traditional sub-prime mortgages. However all mortgage loans are not necessarily considered to be a high cost mortgage. Generally a hard money loan carries additional risk that a borrower is aware of. Rather than selling the property a borrower will opt to keep the loan and if a lender is willing to assume some of the risk by offering a hard money loan.

Interest Rate on Hard Money

The rate is not dependent on the Bank Rate. It is instead more dependent on the real estate market and availability of hard money credit. Currently and for the past decade hard money has ranged from the mid 10% to 16% range. When a borrower defaults they may be charged a higher “Default Rate”. That rate can be as high as allowed by law which may go up to or around 25%-29%.

Hard Money Points

Points on a hard money loan are traditionally 1-3 more than a traditional loan, which would amount to 3-6 points on the average hard money loan. It is very common for a commercial hard money loan to be upwards of four points and as high as 10 points. The reason a borrower would pay that rate is to avoid imminent foreclosure or a “quick sale” of the property. That could amount to as much as a 30% or more discount as is common on short sales. By taking a short term bridge or hard money loan, the borrower often saves equity and extends his time to get his affairs in order to better manage the property.

All hard money borrowers are advised to use a professional real estate attorney to assure the property is not given away by way of a late payment or other default without benefit of traditional procedures which would require a court judgment.

Other Types of Similar Loans

Asset Based Loan – A similar type of commercial loan based on real estate, indicating the loan will be based upon a percentage of the properties appraised value, as the key criteria.

Private money – Refers to lending money to a company or individual by a private individual or organization.

Bridge Loan – A similar type of commercial loan based on real estate.

Non Conforming Loans – loans for non-conforming projects.

Commercial Loan – Standard, broad types of loans based on commercial property value.

Asset-based loan

An asset-based loan is a short-term loan secured by a company’s assets. Real estate, A/R, inventory, and equipment are typical assets used to back the loan. The loan may be backed by a single category of assets or some combination of assets, for instance, a combination of A/R and equipment.

Typical Borrower

True asset based or “Equity based” lending is easier to obtain for borrowers who do not conform to typical lending standards.

They may have no, little or terrible credit.

They may have little income to support the payments, and may need to rely on the loan itself to pay back the lender until the property is either sold, refinanced, or their income resumes.

They may also have little or no down payment on a large commercial purchase transaction, as would otherwise be required, because they are buying it under value.

They may have struck a deal with the seller to lend them the remaining balance of the purchase price, not covered by the first position mortgage.

Loan Terms

Percentage of Appraised Value

Asset based lenders typically limit the loans to a 50 or 65 loan to value ratio or “LTV”. For example: If the appraisal is valued at $1,000,000.00 a lender might lend between $500,000.00 and $650,000.00.

A borrower is more likely to default with little or no down payment, and has little invested making it easier to “walk away” from the deal if it does not go well. In the event of a default resulting in a foreclosure, the first lien position lender is entitled to repayment first, out of the proceeds of the sale. Exceptions may occur in the event of a “short sale”, where the property is overvalued and actually sells for less, and does not cover the loan. The lender can than sue the borrower for the remaining balance if it can be obtained. An asset based lender knows that and usually will feel content that at an average 60 LTV they have enough equity to use to cover any expenses incurred in the event of a default.

These expenses would include:

Past due interest on the loan they have given

Past due property taxes on the property if the borrower has stopped paying them also

Lawyer’s fees

Miscellaneous credit and collection fees associated with foreclosure.

Secondary financing

Allowing secondary financing is common on asset based lending programs. Asset based lenders may allow this, if they are content with the amount of equity remaining beyond their lien position (often first).

Some asset based lenders will allow a second mortgage from another lender or seller to occur up to the full amount of the property’s value, while others may restrict secondary financing to a specific Combined Loan-To-Value or “CLTV”. For example while they may lend at a 50 Loan to Value Ratio of the property value, they may allow secondary financing from another party for up to the full value, otherwise stated as 100 Combined Loan To Value Ratio. They may in some cases require that the borrower have at least 5% or more of their own funds…which would be expressed as a CLTV of 95. That would allow for up to 45% of the value to be financed by a secondary lender. The secondary lender is at a higher risk. A seller might take the chance in order to facilitate the sale of his property quickly and/or at full price.

Private money

Private Money is a commonly used term in banking and finance. It refers to lending money to a company or individual by a private individual or organization. While banks are traditional sources of financing for real estate, and other purposes, private money is offered by individuals or organizations and may have nontraditional qualifying guidelines.

Private money can be similar to the prevailing rate of interest or it can be very expensive. When there is a higher risk associated with a particular transaction it is common for a private money lender to charge a rate of interest above the going rate.

Private money lenders

There are private money lenders in virtually every state in the United States, seeking a chance to earn above average rates of return on their money. With that comes the risk that a private money loan may not be re-paid on time or at all without legal action. Private money is offered to Client in many cases in which the banks have found the risk to be too high.

Private money regulation

Private money lenders must comply with state and federal usury laws. They are not exempt from banking laws. Further, if the loan is made to a consumer, the private money lender may have a limit on how many loans they may make in a particular state, without being required to have a banking license.

Bridge loan

A bridge loan (also known in some applications as a swing loan) is a type of short-term loan, typically taken out for a period of 2 weeks to 3 years pending the arrangement of larger or longer-term financing.

Description

A bridge loan is interim financing for an individual or business until permanent or the next stage of financing can be obtained. Money from the new financing is generally used to “take out” (i.e. to pay back) the bridge loan, as well as other capitalization needs.

Bridge loans are typically more expensive than conventional financing because of a higher interest rate, points and other costs that are amortized over a shorter period, and various fees and other “sweeteners” (such as equity participation by the lender in some loans). To compensate for the additional risk the lender may require cross-collateralization and a lower loan-to-value ratio. On the other hand they are typically arranged quickly with relatively little documentation.

In real estate

Use

Bridge loans are often used for commercial real estate purchases to quickly close on a property, retrieve real estate from foreclosure, or take advantage of a short-term opportunity in order to secure long term financing. Bridge loans on a property are typically paid back when the property is sold, refinanced with a traditional lender, the borrower’s creditworthiness improves, the property is improved or completed, or there is a specific improvement or change that allows a permanent or subsequent round of mortgage financing to occur. The timing issue may arise from project phases with different cash needs and risk profiles as much as ability to secure funding.

A bridge loan is similar to and overlaps with a hard money loan. Both are non-standard loans obtained due to short-term, or unusual, circumstances. The difference is that hard money refers to the lending source, usually an individual, investment pool, or private company that is not a bank in the business of making high risk, high interest loans, whereas a bridge loan refers to the duration of the loan.

Characteristics

Bridge loan interest rates are usually 12-15%, with typical terms of up to 3 years. 2-4 points may be charged. Loan-to-value ratios generally do not exceed 65% for commercial properties, or 80% for residential properties, based on purchase price.

A bridge loan may be closed, meaning it is available for a predetermined timeframe or open in that there is no fixed payoff date (although there may be a required payoff after a certain time).

Availability

Most banks do not offer real estate bridge loans because the speculative nature, risk, lack of full documentation, and other factors, do not fit the bank’s lending criteria. A bank that issued bridge loans might have difficulty justifying its lending practice to its investors and government regulators. Bridge loans are therefore more likely to come from individuals, investment pools, and businesses that make a practice of the higher-interest loans.

Examples

A bridge loan is often obtained by developers to carry a project while permit approval is sought. Because there is no guarantee the project will happen, the loan might be at a high interest rate and from a specialized lending source that will accept the risk. Once the project is fully entitled, it becomes eligible for loans from more conventional sources that are at lower-interest, for a longer term, and in a greater amount. A construction loan would then be obtained to take out the bridge loan and fund completion of the project.

A consumer is purchasing a new residence and plans to make a down payment with the proceeds from the sale of a currently owned home. The currently owned home will not close until after the close of the new residence. A bridge loan allows the buyer to take equity out of the current home and use it as down payment on the new residence, with the expectation that the current home will close within a short time frame and the bridge loan will be repaid.

Non-conforming loan

A non-conforming loan is a loan that fails to meet bank criteria for funding.

Reasons include the loan amount is higher than the conforming loan limit (for mortgage loans), lack of sufficient credit, the unorthodox nature of the use of funds, or the collateral backing it. In many cases, non-conforming loans can be funded by hard money lenders, or private institutions/money. A large portion of real-estate loans are qualified as non-conforming because either the borrower’s financial status or the property type does not meet bank guidelines. Non-conforming loans can be either A-paper or sub-prime loans.

The flexibility of private money can allow for a much wider range of deals to be funded, although more detailed and substantive collateral and documentation may be required by a lender.

Selecting a Non-Conforming Lender

Borrowers should select non-conforming lenders in the same careful way they would shop for any other loan. Look for good rates and especially a good customer service rating. Rates for non-conforming lenders are typically higher than those for banks, but terms are more flexible and loans more easily attainable. Many companies advertising non-conforming loans are brokers who refer the loans requests they field to lenders.

Types of Non-Conforming Loans

Commercial non-conforming loans are also known as hard money loans, and comprise a large portion of all non-conforming loans. They are used to fund industrial and retail projects like RV parks, theatre complexes, gas stations, medical centers and more. Many commercial non-conforming loans are bridge loans.

Residential non-conforming loans are strictly regulated, usually with much higher rates than banks. Some states have legal limits against non-conforming loans for residential real estate.

Winston Rowe & Associates has an excellent knowledge based investor resource for commercial real estate valuation and market analysis located at:

http://www.winstonrowe.com/Free_Real_Estate_Resources.html

At Winston Rowe & Associates they focus on building long-term relationships, delivering exceptional and individualized customer service, and positioning loan products that best achieve our customers’ goals. Their professional staff is dedicated to streamlining the loan process and providing unsurpassed lines of communication.

Winston Rowe & Associates

31408 Harper Ave

Suite 147

Saint Clair Shores MI 48082

248-246-2243

Winston Rowe & Associates has no upfront free commercial loans in the following states.

Alabama, Alaska, Arizona, Arkansas, California, Colorado, Connecticut, Delaware, Florida, Georgia, Hawaii, Idaho, Illinois, Indiana, Iowa, Kansas, Kentucky, Louisiana, Maine,  Maryland, Massachusetts, Michigan, Minnesota, Mississippi, Missouri, Montana, Nebraska, Nevada, New Hampshire, New Jersey, New Mexico, New York, North Carolina, North Dakota, Ohio, Oklahoma, Oregon, Pennsylvania, Rhode Island, South Carolina, South Dakota, Tennessee,   Texas, Utah, Vermont, Virginia,   Washington, Washington DC, West Virginia, Wisconsin, Wyoming

Commercial Bridge Loans Explained Winston Rowe & Associates No Upfront Fees

Commercial Bridge Loans Explained

Commercial real estate bridge loans are relativity straight forward. When a developer wants to purchase a piece of commercial real estate, and needs time to undertake some task such as property improvement, finding a tenant, or selling the property, commercial real estate bridge loans make this happen.

If you’re interested in learning more about bridge loan financing for purchase or refinance. You can contact Winston Rowe & Associates at 248-246-2243 or visit them on line at http://www.winstonrowe.com

Uses & Deployment Scenario of Bridge Loans:

Bridge loans are short term and are planned around terms of six months to two years.
This type of loan can be thought of as a “financing bridge” that takes place between the acquisition and development of a property and the time before a permanent, traditional take-out loan is enacted.

They can be useful in situations where a borrower wants to purchase a commercial building and is approved for a SBA loan or another type of long term conventional financing.

The loan enables the borrower to go ahead and purchase the property and establish a good, solid operating history that qualifies it for conventional, long-term financing.

Winston Rowe & Associates has an excellent knowledge based investor resource for commercial real estate valuation and market analysis located at:

http://www.winstonrowe.com/Free_Real_Estate_Resources.html

Winston Rowe & Associates has a core focus on building long-term relationships, delivering exceptional and individualized customer service, and positioning loan products that best achieve their client’s goals. Their preemptive problem-solving approach is perfect for clients with credit and time sensitive issues.

Winston Rowe & Associates has no upfront free commercial loans in the following states.

Alabama, Alaska, Arizona, Arkansas, California, Colorado, Connecticut, Delaware, Florida, Georgia, Hawaii, Idaho, Illinois, Indiana, Iowa, Kansas, Kentucky, Louisiana, Maine,  Maryland, Massachusetts, Michigan, Minnesota, Mississippi, Missouri, Montana, Nebraska, Nevada, New Hampshire, New Jersey, New Mexico, New York, North Carolina, North Dakota, Ohio, Oklahoma, Oregon, Pennsylvania, Rhode Island, South Carolina, South Dakota, Tennessee,   Texas, Utah, Vermont, Virginia,   Washington, Washington DC, West Virginia, Wisconsin, Wyoming

Bridge Loans With No Upfront Fees For Commercial Property

Bridge Loans With No Upfront Fees For Commercial Property

Winston Rowe & Associates has world class relationships with the private capital markets ready to lend when traditional banks and lending institutions won’t.

They pride themselves in working with commercial real estate investor looking for fast and efficient commercial property loans.

Winston Rowe & Associates primary objective is to meet client’s financial needs for short-term commercial bridge loans and commercial mortgage refinancing.

With Winston Rowe & Associates you can expect efficiency, flexibility and professionalism as they work to get you to the closing table fast.

The Winston Rowe & Associates Financing Advantages:

No Advance or Upfront Fees
Financing from $2 Million to $100 Million Plus
Fixed and Adjustable Rates
Up to 60% LTV
Interest Only Option
United States Only

Their experienced and enthusiastic professional team has the know how needed to make the loan process as easy as possible for our borrowers.

Winston Rowe & Associates success is measured by our clients’ success, and their mission is to be your source for the most appropriate and advantageous financing solution that helps you achieve your goals.

248-246-2243

processing@winstonrowe.com

Winston Rowe & Associates How Do Hard Money Loans Work

What is Hard Money

With hard money (or private money, the terms are often used interchangeably), you are dealing with an individual, or a group of individuals.

The nature of hard money or alternative financing is much different than the structure you may find on an institutional loan. The banks and other traditional institutions have different rules to play by. They are subject to capital requirements, which are regulated by the government, for one. These capital requirements have been raised in light of the financial turmoil, meaning many small community banks that were once the source of funding for small commercial properties must hold onto their cash rather than lending it out. This is not true of hard money.

These individuals (Hard Money Lenders) are not subject to such government regulation, they are free to invest money in first trust deeds and commercial real estate, and they do so, earning a much better return than what they may earn in a CD. The fact that the banks cannot make loans or that they have tightened up their standards so much that many ‘bankable’ or high risk borrowers cannot obtain the loan they need means that investors now have excellent risk levels in relation to the return on investment they make. It is not uncommon for an investor to earn 10-18% return on their money, secured by a piece of property that has 40% or more in equity (LTV 60%).

Terms are short (six months to three years). The interest rates vary. It could be a floating rate or a fixed rate. Some lenders offer the option of ‘interest lock’ for short periods. This can be beneficially used if there is the expectation of rates going up. Sometimes the funds are utilized as a bridging loan while waiting for a traditional loan. Certain lenders impose a pre-payment penalty if the loan is repaid ahead of the agreed schedule.

Hard money loans generally fall into two categories.

National Banking Credit Crunch:

Hard money loans these days are gaining popularity among many as an alternative to bank financing. There are a number of issues that have led to this rise in popularity, but at the root of it all is the collapse of the real estate market and subsequent credit crunch. Due to their nature, however, hard money loans are flourishing in these tightened financial markets.

Non Conforming Commercial Real Estate Transactions:

Another area of private money (hard money) is for borrowers with high risk commercial real estate transactions that do not conform to traditional banking lending criteria. These types of borrowers are generally very savvy commercial real estate investors with commercial real estate transactions that are high risk for a several reasons.

The borrower may have violated the loan covenants with their current bank by misusing loan proceeds, have a low credit scores, was turned down for traditional financing, cannot verify their source of funds or has stripped out the equity in their real estate with a past refinance, or a mismanaged commercial real estate asset. In these cases the commercial real estate investor is seeking a life boat or pay check loan to recoup their investment or to restart there commercial real estate development or project.

Market issues that cause commercial real estate transactions to become high risk are rapid real estate devaluation of an area, excessive inventory of a specific real estate class, high crime or the loss of major employers.

Applying For A Hard Money Loan:

Applying for a hard money loan is a very extensive multi step process with detailed documentation requirements. This process begins with an intake or submission document that is provided by the hard money lender or loan consultant. This document is completed by the borrower and is then submitted to the hard money lender or loan consultant to review the material facts of the hard money commercial real estate transaction.

Upon submission of the intake form or submission document the hard money lenders or loan consultant will review the material representations and make a determination if the transaction has merit. If the hard money lender or loan consultant feels that the transaction has merit a conference call is scheduled with the borrowers to verify the material representations that were made by the borrower.

This gives the borrower an opportunity correct any misrepresentations that were made and to present the merits of their transaction directly and to begin the negotiation process of obtaining a hard money loan.

If the borrower confirms that the intake form or submission document is a correct representation of the material facts and there is a meeting of the minds between the hard money lenders or loan consultant a Letter of Interest is issues to the borrower.

Issuance of Proposed General Terms and Conditions:

At this point in the hard money loan process the borrower issues and has received a Letter of Interest from the hard money lender or loan consultant detailing the proposed general terms and conditions.

Another conference call is scheduled with the borrower and their representative with the hard money lender or loan consultant to review the Letter of Interest and the intake or submission document for a second time. The purpose of the call is to review proposed general terms and conditions and obligation and responsibility of the parties pursuant to the Letter of Interest.

At this point in the process the borrower and the hard money lender or loan consultant begins the process of negotiating the hard money loan. It’s not uncommon for the negotiation process to take several weeks or months and have multiple Letters of Interest issued.

If the hard money lender or loan consultant and the borrower have a meeting of the minds, agreeing to the general terms and conditions pursuant to the Letter of Interest. The Letter of Interest is executed and a deposit is paid to being the due diligence review process.

Review & Due Diligence:

The hard money lender or loan consultant utilizes the commercial loan review (due diligence review) to ensure that the business has the capacity to provide for the mortgage payments.  Some of the factors that the hard money lender or loan consultant will look into during the procedure to determine the creditworthiness of the commercial property owner include the trend in the cash flow of the business, the payment history, market conditions, and the presence of guarantors.

The key of getting hard money loan regardless what lender or consultant you are working with is to get the documentation required for getting a hard money loan in a fast manner, regardless of who is going to do this hard money loan for you. If you want to get it done on quick basis, definitely you need to work on the required documentation by hard money investors that they are going to require before you close.

Borrowers need to do quickly and comprehensively complete the lenders supporting documentation in order to get the loan done by your hard money lender. So, any delay in documentation is the will cause the delay in getting a hard money loan.