Helpful Information about our Loans

Real Estate Investment Loan: This loan is specifically designed for individuals or entities who wish to borrow money to purchase, renovate, or develop real estate with the intention of generating a return on the investment. 

Purpose: These loans are used to finance the purchase or improvement of real estate properties intended for investment, such as residential, commercial, or industrial properties.

Construction Loan: This loan is used to cover the costs of constructing a rehab or brand-new property. It can be used by investors who want to build a home or by real estate developers constructing multiple properties for sale or rent. It’s a short-term loan used to finance the construction of a new building or major renovations to an existing property. These loans are typically used by investors, builders, or developers to cover the costs of building or improving a property before securing a permanent mortgage or long-term financing.

Loan Structure:

• Drawdown System: Rather than providing the full loan amount upfront, lenders typically release funds in stages or "drawdowns" as the construction progresses. Each stage of construction is usually tied to specific milestones (e.g., foundation completed, structure built, roof installed).

Bridge Loan: This is a short-term loan used to "bridge" the gap between the purchase of a new property and the sale of an existing one, or to provide temporary financing until long-term financing can be secured. Bridge loans are typically used in real estate transactions, especially when an individual or business needs to purchase a new property before the current property is sold, or while they await a permanent mortgage or other long-term financing.

Purpose: The primary use of a bridge loan is to help investors buy a new property while they are in the process of selling a current one. It can also be used to facilitate renovations or other temporary financial needs until longer term financing is available.

Refinancing: The process of replacing an existing loan or debt with a new loan, typically with different terms. The new loan can be used to pay off the old loan, and it may involve a change in the interest rate, loan term, monthly payments, or type of loan.