multifamily construction loans
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Weighing Your Loan Options for New Construction Financing

Building the Right Financing Package for New Construction Loans

New construction spending is reaching all-time highs—what an exciting time to be a part of the ever-evolving real estate market. Forging ahead in both the established and emerging development markets are new mixed-use properties and multifamily builds.

As lending specialists, we’ve seen developers and investors use a myriad of tools to get their projects built. Just to name a few, funding sources can come from:

An individual’s own cash and capital
An […]

Multifamily Syndication
Multifamily Syndication Team

Better Together: Using Syndication to Grow Your Multifamily Portfolio

Syndicating Deals Is the Next Step to Achieving Your Investment Goals

As the multifamily market continues to grow, you may be wondering how newer multifamily investors are able to complete large transactions or add big commercial properties to their portfolios. If your investment goals are at Point A and you want to get to Point B quickly, the answer is right in front of you.

Multifamily syndicated deals are the oil in the multifamily gears allowing deals to move forward and […]

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Why, What, When, and How? Preparing A Schedule of Real Estate Owned (SREO)

Simplify and Speed Up the Underwriting Process by Preparing Your Schedule of Real Estate Owned (SREO)

You’re in the driver seat when preparing documents to hand over to lenders and underwriters—these statements should help you put your best foot forward when buying your next multifamily investment property. They can be the extra push or reassurance lenders need for you to secure a great property.

A valuable document to have readily available is a schedule of real estate owned (SREO), also known […]

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Navigating the Underwriting Process between Quote and Closing

Preparing for Underwriting So Your Deal Gets Done

Securing a multifamily loan is like training for a marathon. By the time an investor decides on a loan, they may feel like they’ve reached the finish line, but really it’s just the halfway point.

Like training for a marathon, proper preparation leads to an accomplished goal. Investors who better understand the underwriting process will be more equipped to successfully secure funding for their next multifamily investment property.

Although it is easy to lump […]

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When is a Full Recourse Loan Acceptable?

The answer to that question is, complicated. Let’s start with a simple definition and talk through some of the scenarios that make sense.

A recourse loan is a loan where the borrower is personally liable for repaying the outstanding balance of the loan, above and beyond the underlying collateral. For example, in a worst-case scenario where the underlying asset must be liquidated, the borrower is still on the hook for the unpaid balance after the liquidation.

In a non-recourse loan, the borrower is not […]

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The Beauty of Leverage in Multifamily Investing

Using Leverage to Increase Your ROI

When deciding how to invest your hard-earned money, multifamily investments continue to be a source of above-average returns. Data from a recent study forecasts a healthy economy and even more lifetime renters as interest rates rise and the housing market shifts.

Some refer to profits from real estate investments as “mailbox money”—checks that show up in your mailbox from your savvy real estate investments. But how can you increase these returns? The answer is simple—so […]

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Why a Carefully-Crafted Investor Resume Is the X Factor for Approved Multifamily Funding

Creating an Expert-Level Investor Resume: 101

You’re ready to invest in your next multifamily property. You’ve found the right property in the right location, you’ve chosen a broker to help find you the best loan—but now it’s time to actually get the funding. While choosing a location for your next multifamily investment may be the first big hurdle in the buying process, acquiring the loan necessary to complete the deal is a series of events you can’t overlook. The better […]

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Don’t Get Caught Flat-Footed When It Comes to the Debt Service Coverage Ratio (DSCR)

What the Debt Service Coverage Ratio Means for You and Your Loan

Across the country, the commercial multifamily market has seen incredible increases in values. Investors are flocking to the opportunities and returns that are possible through multifamily investing. Forbes predicts slow and steady growth for commercial real estate well into 2018 and beyond as investors ride the waves of the long period of economic recovery following the 2008 recession.

As demand from buyers looking to gain entry into multifamily investing […]

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Let Your Personal Financial Statement (PFS) Do the Talking

Why Your Personal Financial Statement (PFS) Will Get You in the Door

The financial world has acronyms galore, but one essential term is PFS: personal financial statement.

A PFS summarizes your assets and liabilities and provides a snap shot of your total net worth. You’ll need to generate a PFS when you apply for a multifamily loan program. But as a savvy investor, you should be doing more than simply filling in the blanks on a financial worksheet. You should understand […]

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4 Factors that Qualify You for Multifamily Financing—Are You a Good Risk?

Every real estate investment involves risk. When considering a potential multifamily investment, you have to ask yourself, “Is this a good risk?”

Once you’ve done your own calculations and are ready to talk to a lender, it’s the lender’s turn to consider, “Is this investment a good risk for me as a lender?” And even more pointedly: “Is this client a good risk?”

In commercial real estate finance, A lender’s decision to provide millions of dollars in capital is based both […]