·     Enjoy the quickness of private loan approval, with potential funding in just 2 to 4 days for bank declines and fallouts.

 ·     Debt consolidations for consumers, businesses, or a combination of both: In most cases, the loan may be used for debt consolidation, lowering the borrower’s monthly payment obligations. 

 ·     Marginal to poor creditworthiness, where a borrower is not bankable, and approval of a loan request is primarily property equity driven.

 ·     Private loans are not just for traditional properties. They can be used for unique purposes and properties such as Churches, synagogues, restaurants, bars, automotive repair shops, body repair shops, gas stations, and other single-purpose or limited properties. This flexibility ensures that your unique needs are catered to.      

 ·      Experience the ease of limited document loans, where the requirements are a loan application, credit report, and 3 to 6 months of bank statements. The objective is to prove the ability to pay the outstanding loan payments and other debt obligations, making the application process straightforward and manageable.

 ·      Post-COVID fresh start loan. A borrower may need to catch up and give themselves breathing room for accrued and differing payments, which is referred to as a “fresh start loan.”

 ·      Pay off loans coming due or past due:  Refinance and pay off existing first, second, and third lien position loans that may be due.    Loans are available for both owner and non-owner-occupied residential and commercial properties.

 ·       Cash-out for any reason refinances are based upon the protective equity of existing real estate.  Cash-out loan proceeds can be used for most business and consumer purposes. 

·       Junior lien or second-position loans on both owner and non-owner-occupied dwellings for business purposes

 ·      Construction completion, rebuilding, or upgrading properties in poor or marginal condition:  The loan is usually necessary because the collateral property or the borrower needs to meet bank underwriting guidelines in its distressed or partially completed state.  Loan approval by the lender will consider the as-is-value and the as-completed-value.

       A borrower may own and operate a cash-based small business with limited financial strength.  A lender will require 3 to 6 months of personal and business bank statements.  The borrower is still required to prove they can make the required payments.

 ·       Leveraged existing real estate equity developed over time to borrow additional funds, purchase other investment properties, or invest in a business enterprise.

 ·       Purchase a property with a cash down payment, sweat equity, and seller’s agreement to carry back a subordinated junior trust deed. The second subordinated trust deed is recorded concurrently with the first trust deed, but with a recording number after the first.

 ·       An inherited property where family members and successor trustees who are beneficiaries need funds to distribute to the beneficiaries, pay the estate’s legal costs, or fix up the property for a future rental. Another option is to fix it and sell it on the open market.

 ·       Loan on unimproved raw land.  Lending on raw land can be a complex process.  Is the land part of an existing subdivision referred to as an infill lot, a commercially or industrially zoned parcel within a subdivision, or a larger parcel held for future development

 ·       Retail strip and community centers, industrial or other properties requiring upgrades or repositioning:  Many centers are distressed due to the COVID shutdown vacancies, where tenants could not pay rent.

 ·       Fix-and-flip loans allow high-frequency purchasers to purchase distressed properties, rehabilitate them with the expectation of resale, and turn a quick profit. Borrowers need both experience and some of their capital at risk.

 ·       Litigation settlements:  A loan to buy out a business partner, pay off a pesky family member, an ex-spouse, a judgment lien, or a partition suit.

 ·       Pay off civil judgments and liens, including arrearages in property taxes, association dues, and federal and state tax liens.

 ·       Sale of existing promissory notes and deeds of trust to third-party investors: The sale is usually at a discount, whether the promissory note is performing or non-performing. A deal will free up cash.

 ·       Hypothecation or pledge of a promissory note and deed of trust: A borrower who owns a promissory note and deed will assign them to a third-party investor as collateral for a new loan.

 ·       Cross-collateralization of more than one property:

 ·        Cross-collateralize multiple properties that are used to meet lender equity requirements. The borrower would sign one promissory note but have recorded liens that encumber two or more properties.

·       Small mobile homes or trailer parks: properties that don’t meet the underwriting standards of institutional lenders.

·       Airbnb-type rental income properties: Financials and history are necessary to prove the ability to make payments.

·       New ground-up construction or construction completion for a partially completed project: Most requests result from borrowers needing to fund more money to complete the task when their capital or existing construction loan proceeds are depleted.

·       Collateral combines real and personal property with mini markets, such as a motel, restaurant, carwash, or gas station.  The valuation and the decision to make the loan must be based on the real property only.  A trust deed is recorded to encumber the real property, and a UCC-1 financing statement will be filed with the Secretary of State to encumber the personal property.

·        A long-term lease on commercial property has or is expected to expire soon.  The lease expiration could result in a vacancy and a disruption to rental income.  If the master tenant vacates the property, this will disrupt other smaller in-line tenants because the master tenant is responsible for the primary draw of foot traffic to the center. 

·        Credit approval is subject to highly sophisticated lease analyses, with multiple tenants having different lease terms, including length, lease rate, and lease provisions. Some tenants are on long-term leases, and some are on month-to-month tenancies.

·       Some properties require mutual property access easements for ingress/egress or complex usage rights, such as reciprocal parking agreements.  Many properties, such as churches and retail shopping centers, sign contracts with multiple property owners to use the entry/exit of the property or the parking in specific ways or at certain times.

·       Foreign nationals with and without a Social Security number need loans.  The borrower must have a US bank account(s).  The borrower must have a process agent service arranged during loan processing.

         “Notice of a substandard condition” or “notice of property noncompliance” is recorded on public records by a building department notifying the public that the property is out of conformance or in disrepair for building and zoning codes. 

 ·       Non-conforming property not complying with current zoning and building standards.  As a result, there are strict limitations on repairing or replacing the structures in destructive acts such as fire, flood, windstorm, vandalism, or earthquake.  The property may not be rebuilt to an acceptable level after the harmful event occurs.

·       Earthquake seismic retrofit.  Many older properties must be upgraded with engineered reinforced steel frames bolted into the existing structure and walls shored up with steel support fasteners to withstand earthquakes.

·       Tenant improvements. Commercial building owners must provide funds to install interior or exterior improvements to satisfy the owners’ and prospective tenants’ leasehold improvements.