Speculative Construction Loan (Spec).
Construction loans offered to professional homebuilders, contractors and
developers.
Get your next project off the ground.
Contractors, builders and developers who are building a home without a
guaranteed sale upon completion are said to be building on “Spec”,
which is short for “Speculation.” These individuals and companies
are speculating that’s they will earn a profit when sell the newly
constructed home.
We Can:
·
Financing up to 90% of total project costs
·
Loans
up to 80% Loan To Value Ratio
·
Loans
to $1,500,000.
·
Interest reserve for up to 18 months.
·
Up to
4 loans to same Builder within the same subdivision, market or
neighborhood
·
Lot
draws up to 60% of land value.
·
Land
equity and pre-paid costs can be used as down payment.
·
No
Debt to Income ratio calculated.
·
Will
close in Corporation, Partnership and Limited Liability Company’s
name with personal guarantees by principal(s).
·
Can
combine construction and lot loans at time of purchase.
What it takes:
·
Single
Family Residence are eligible only.
·
10%
post-closing liquidity of the total loan amount.
·
Minimum “Gross Profit Margin” of 15%.
·
Full
documentation only. Stated income loans are not available for this
program.
·
Builders with 5+ years experience in the building/marketing of
residential SFR’s are acceptable as GC’s.
·
680
middle credit score.
Owner’s experience is preferred but not
necessary.
Questions?
Call us Toll
Free or Send an Email,
with any questions or concerns that you may have. Visit Our
State Specific Contact Page,
where you can find our phone numbers to call us, contact us by email
or complete our short, secure application form.
Stated
Income Construction Loans
Can't
document your income?
We
offer a whole range of
no income documentation construction loans.
Programs include stated income, limited doc, no doc and no income. Our
consultants will help you pick the right one for you
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