Real Estate Investing
A Product Guide
(or keep reading below)
Real Estate Investing
Real estate investing is a wealth-building strategy that involves purchasing, owning, and managing properties with the goal of generating income and capital appreciation.
Real estate offers potential advantages such as steady rental income, tax benefits, and portfolio diversification. Successful investors conduct in-depth market research, assess property values and potential returns, and manage properties efficiently. They may also utilize advantageous financing options to optimize their investments.
This guide will outline different commercial real estate (CRE) investment products to help you make informed decisions that align with your investment goals and real estate strategy.
Real Estate Loan Programs
Our Real Estate loan programs have been developed to suit multiple investing strategies. At a glance, we offer:
Fix & Flip Loans:
Up to 85% LTV
100% of rehab costs
12 to 18 month term
10.24% – 10.74% rate
Min. 620 FICO
New Construction:
Up to 75% LTV
12 to 18 month term
10.24% – 10.74% rate
Min. 620 FICO
Interest-Only Loans:
Up to 75% LTV
Up to 10 year interest-only term
25 year amortization
9.00% – 13.00% rate
Min. 600 FICO
Long-term Loans:
Up to 80% LTV
30 year term
6.49% – 13.00% rate
Min. 620 FICO
Short-term Loans:
Up to 80% LTV
12 to 18 month term
9.00% – 13.00% rate
Min. 620 FICO
Fix & Flip Loans
The best short-term solution for acquiring and improving property value. Designed for “fix-and-flip” investors who are seeking a short-term, interest-only loan to acquire and improve a property based on its “as repaired value” (ARV):
Loan Amount: $50,000 - $15,000,000
Term: 12 months (with option for 6 month extension)
Loan-To-Value: Up to 85% (depending on experience and property type)
Rates: 10.24% to 10.74%
Credit Score: Minimum 620 FICO
Investors and developers with experience under their belt are generally considered less “risky” by lenders and can access higher LTV for for the same fix & flip project:
New Investor
Completed up to 2 flips or owned up to 2 rentals in the last 3 years:
Up to 80% of purchase price.
Up to 100% of the renovation costs (not to exceed 65% of the After-Repair Value).
Intermediate Investor
Completed 3 to 10 flips or owned up to 3 to 10 rentals in the last 3 years:
Up to 85% of purchase price.
Up to 100% of the renovation costs (not to exceed 70% of the After-Repair Value).
Experienced Investor
Owned 10 or more investment properties (flips and/or rentals) in the last 3 years:
Up to 85% of purchase price.
Up to 100% of the renovation costs (not to exceed 70% of the After-Repair Value).
Interest-Only Loans
We customize loans to meet the individual needs of each investor. Our interest-only (I/O) products are designed for real estate investors seeking lower payments and fixed rates.:
Loan Amount: $75,000 - $5,000,000
Term: Up to 10 year I/O; or 24 month I/O with no prepayment penalty)
Loan-To-Value: Up to 75% (depending on credit score and property type)
Rates: 9.00% to 13.00%
Credit Score: Minimum 600 FICO
Investors and developers with higher FICO scores are generally considered less “risky” by lenders and can access higher LTV and lower rates. We have 2 interest-only options:
24-month term interest-only loan:
Tier 1
FICO ≥ 725
Purchase:
Rate: 10.74%
LTV: 75%
Refinance:
Rate: 11.50%
LTV: 75%
Tier 2
FICO: 700 to 725
Purchase:
Rate: 11.00%
LTV: 75%
Refinance:
Rate: 11.74%
LTV: 75%
Tier 3
FICO: 675 to 699
Purchase:
Rate: 12.00%
LTV: 75%
Refinance:
Rate: 12.74%
LTV: 75%
30-year term loan (10 year interest-only):
Tier 1
FICO ≥ 750
Single-Family:
Rate: 9.74%
LTV: 75%
Multi-Family:
Rate: 9.99%
LTV: 75%
Commercial:
Rate: 10.74%
LTV: 75%
Tier 2
FICO: 700 to 749
Single-Family:
Rate: 9.99%
LTV: 75%
Multi-Family:
Rate: 10.99%
LTV: 75%
Commercial:
Rate: 11.49%
LTV: 75%
Tier 3
FICO ≥ 650
Single-Family:
Rate: 10.74%
LTV: 70%
Multi-Family:
Rate: 11.74%
LTV: 70%
Commercial:
Rate: 12.24%
LTV: 70%
New Construction
Loans for ground-up construction are available for non-owner occupied 1-4 family properties, condos, townhomes, and apartment buildings.
Loan Amount: $100,000 - $2,000,000
Term: 12, 18, or 24 months
Loan-To-Value: Up to 75% (depending on credit score and property type)
Rates: Starting at 10.99%
Credit Score: Minimum 650 FICO
Investors and developers with experience under their belt are generally considered less “risky” by lenders and can access higher LTVs, assuming entitlements, permits, and approved plans.
Tier 1
Completed 10+ ground-up construction projects:
Initial Loan Amount:
Max LTV: Up to 75% of the As-Is Value
Max. LTC*: Up to 80% of the As-Is Value
Max. Loan Amount:
Max ARV: Up to 75% of the ARV
Total. LTC: Up to 90% of total LTC.
Tier 2
Completed 10+ real estate transactions that include renovations:
Initial Loan Amount:
Max LTV: Up to 75% of the As-Is Value
Max. LTC*: Up to 75% of the As-Is Value
Max. Loan Amount:
Max ARV: Up to 70% of the ARV
Total. LTC: Up to 85% of total LTC.
Tier 3
Completed 3+ real estate transactions; 1+ must be a heavy renovation:
Initial Loan Amount:
Max LTV: Up to 70% of the As-Is Value
Max. LTC*: Up to 72.5% of the As-Is Value
Max. Loan Amount:
Max ARV: Up to 65% of the ARV
Total. LTC: Up to 85% of total LTC.
Tier 4
New customer with no prior experience:
Initial Loan Amount:
Max LTV: Up to 70% of the As-Is Value
Max. LTC*: Up to 70% of the As-Is Value
Max. Loan Amount:
Max ARV: Up to 65% of the ARV
Total. LTC: Up to 82.5% of total LTC.
*Loan-to-Cost (LTC) refers to how much of the total cost of a real estate project is being covered by a loan.
Long-Term Loans
Designed for real estate investors seeking lower payments on a long-term, fixed-rate loan with no balloon payment. Applies to non-owner occupied 1-4 family real estate, condos and townhomes.
Loan Amount: $65,000 - $5,000,000
Term: 30 years
Loan-To-Value: Up to 80% (depending on credit score and property type)
Rates: Starting at 6.49% for 1-4 family properties
Credit Score: Minimum 600 FICO
Short-Term Loans
Stabilized bridge programs can be a helpful tool for those looking to buy a new home before selling their current one. Can be used for a purchase, refinance, or cash-out.
Loan Amount: $50,000 - $10,000,000
Term: 12 to 18 months
Loan-To-Value: Up to 75% (depending on credit score and property type)
Rates: Starting at 9.00% for 1-4 family properties
Credit Score: Minimum 620 FICO
Notes & Disclaimers
*The quoted interest rates provided are for informational purposes only and may not reflect the actual rates available to individual borrowers. Actual interest rates may vary based on several factors, including creditworthiness, loan amount, term, and lender policies.
The information provided about financial products is for informational purposes only and should not be considered financial advice. It does not constitute an offer, endorsement, or recommendation of any specific product or service.
Before making any financial decisions, carefully consider your individual financial situation and goals, and/or consult with qualified financial professionals and conduct your own research to assess the suitability and risks associated with any financial product or investment and ensure that it aligns with your financial needs, capacity, and goals.