Loans are subject to investor and business credit approval, appraisal and geographic location of the property and other underwriting criteria. Loan amounts and rates may vary depending upon loan type, LTV, verification of application information and other risk based factors. Application fees, closing costs and other fees may apply.
Products NOT available in North Dakota, South Dakota, Vermont, or the U.S. territories of Puerto Rico and Guam.
Approval for cash-out depends on many loan factors and may not be available on every loan.
LTV is determined by a combination of factors, including experience, liquidity, net worth, and FICO score.
LTC is determined by a combination of factors, including experience, liquidity, net worth, and FICO score.
Multi-family properties (5-20 units) financing only available with our Portfolio Rental Loan, Fix & Flip, or Bridge property loans.
Borrowers are approved for a maximum exposure limit, based on their experience, liquid assets, net worth, and credit score. Each property financed on this exposure limit is subject to property approval under Finance of America Commercial terms and conditions. Each property has an individual secured loan.
FACo Underwriter will determine the Extensive Rehab designation based upon review of the budget and project scope. Projects with > 50% may be classified as Rehab and projects ≤ 50% may be classified as Extensive Rehab based upon the Underwriter's review.
We have a limit of $10,000,000 in combined FACo recourse loans to an individual guarantor.
On Express Portfolio Rental Loans: 2-8 Unit Properties and Condos will be limited to a max of 75% LTV.
Property loan pricing, leverage and required reserves will be determined based upon experience.
Loans > $2MM have a max LTC of 60%. Loans > $1MM ≤ $2MM have a max LTC of 85%. Borrowers with 0-2 experience will be capped at $1MM.
Single rental loans > $1.5MM are limited to 65% LTV max. Property values ≤ $150K are limited to 75% LTV max.
On Single Rental loans: 2-4 Unit Properties and Condos will be limited to a max of 75% LTV.
Condos will be allowed on a case-by-case basis for New Construction loans.
Maximum LTC advertised for qualified experienced investors (5+ flips, builds, rentals in last 36 mos.) on standard rehab purchases. Initial disbursement is limited to a max 90% LTC.
New Construction loans require experience of (1) New Construction property built and sold or stabilized at max leverage. Borrowers with (1) Fix & Flip experience are eligible at reduced leverage. Experience is based on a 36 month lookback period.
A no-fee alternative valuation option is available for Standard Fix & Flip, Bridge, and Single Rental loan products with loan amounts ≤ $1MM (and ≤ 65% LTV for Single Rental). Alternative valuations are subject to market coverage availability; full appraisal may be required.
Non-structural rehab allows for materials to be removed from a building without compromising the load-bearing or exterior walls and the roof. Non-structural items include materials like doors, cabinet sets, flooring, trim, windows, and other finishing materials.