What type of documentation is required for the loan application?
FRL requires basic documentation to review & underwrite the loan. This includes an application, credit Authorization, financials (proof of funds), renovation estimates, and documentation on the business entity.
What are the standard terms at FRL?
Our loans typically run for 6 months to 1 year with a loan amount of up to $1.25Million.
What are the costs?
Borrowers are required to pay for an appraisal of their property.The appraisal will require both “as is” and “after repair values.” This fee can vary from state to state and will also depend upon the property type. Multi family homes usually are higher fees. Additionally, it is a requirement to provide proof of insurance for one year on the property. At closing the borrower will pay origination costs, as well as fees for the application, title policy, processing and underwriting.
What is the interest rate?
At FRL we offer a low interest rate starting at 8.99%. Our loans are interest only and payable monthly.
What Loan-to-Value are you looking for?
First Rehab Lending offer Acquisitions & Rehab Funds, typically not to exceed 75% of the After-Repaired-Value (ARV).
Do you have a prepayment penalty?
At First Rehab Lending, there are no pre-payment penalties on our loans. If a borrower can pay off the loan before the term is up, that is completely acceptable.