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, or Vermont.
Approval for cash-out depends on many loan factors and may not be available on every loan.
This chart summarizes information about our Fix & Flip Line of Credit Recourse option. We also offer a Non-Recourse Line of Credit product. Please call us for information about our Non-Recourse option.
Portfolio loans in the following markets: Baltimore, Chicago, Cleveland, Detroit/Flint, Los Angeles, Miami, New Haven, New Jersey, New Orleans, Oakland, and Philadelphia, require a $100,000 value per unit.
Any multi-family property 30 years or older can not exceed a 25-year amortization. These properties will qualify for interest-only loans at a lower LTV.
LTV is determined by a combination of factors, including experience, liquidity, net worth, and FICO score. LTV on a Construction Loan is based on the appraiser-projected after-completion value of the construction project. For a New Construction Loan, borrowers with no experience are capped at a max LTV of 65% ARV.
LTC is determined by a combination of factors, including experience, liquidity, net worth, and FICO score. LTC on a Construction Loan does not include land acquisition costs. For a New Construction Single Loan, borrowers with no experience are capped at a max LTC of 80%.
We have a limit of $2,000,000 in combined Single Property Loans to an individual guarantor. We have a limit of $5,000,000 in combined recourse loans to an individual guarantor. There is no limit for non-recourse loans.
Acquisition financing is determined by a combination of factors, including experience, liquidity, net worth, and FICO score.
Inspection fees apply per inspection.
Land must be already improved/developed for use (i.e., ready for utilities and plumbing.) All applicable building permits must be submitted; if building permits not submitted, funding limited to 60% of lower of land value or purchase price.
Multi-family properties (5-20 units) financing only available with our Portfolio Rental Loan and our Fix & Flip Recourse Line of Credit.
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.
LTV is capped at 65% for any individual Single Rental Loan > $750K.
Multi-family properties 30 years or older will qualify for interest-only loans at a limited LTV.
Partial Interest-Only loans allow for 5 years of interest-only payments, followed by 25 years of amortized payments based on 25-year amortization loan terms.
Vacant properties must be leased within 180 days.
No cap ex or cash management requirements: loans >10mm require cash management, and loans >70%LTV require a 1% management reserve.
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.