Presentation on theme: "Offered through Capital Loan Program Acadia Mortgage Solutions Inc."— Presentation transcript:
offered through Capital Loan Program Acadia Mortgage Solutions Inc.
2 What is the Capital Loan Program? Financing through Acadia Mortgage Solutions from an institutional lender Specialized in small commercial & income producing properties Programs designed to meet the needs of small business owners & investors Equity-based lending (with a credit component) Loans always secured by the commercial real estate
Acadia Mortgage Solutions Inc. 4 Capital Loan Program’s Place? CAPITALLOANPROGRAM Traditional LendersPrivate Funding
Acadia Mortgage Solutions Inc. 5 High Application / Commitment Fees Reasonable fees!High Application / Commitment Fees Availability/stability inconsistent & variable based on many market factors YOU ARE THE FOCUS! This program is a stable solution that specializes in small commercial mortgages (programs are designed specifically for small business owners, investors and business-for-self clients) Availability / stability dependent & variable based on lender ’ s philosophy and business goals Reasonable DSCR (1.20 as a benchmark) Strong DSCR (1.40 or more) No Cross-Collateralization requiredCross- Collateralization Underwriting requirements variable by investor Flexible Underwriting Guidelines (Common Sense Approach) Loan Committee Underwriting Short Term Loans / Temporary Solution Mid-Term and Long-Term Solution (absolute min. 2 yrs) 1 to 5 year terms All Property TypesMany Property TypesMarketable Properties Environmental VariesEasy Environmental ProcessEnvironmental Phase I & II Minimal DocumentationLimited Documentation (Stated Program) Full Documentation All Credit ConsideredWide Credit RangeStrong Credit Fast ClosingsQuick ClosingsLong Closings Case-by-case LTVsHigh LTVsConservative LTVs Higher RatesIntermediate RatesBest Rates Private MoneyThe InterBay LoanTraditional Lenders Small Commercial Lending Arena
Acadia Mortgage Solutions Inc. 6 Traditional Lender Requirements Full document programs often require the following documents as a minimum, sometimes just for a pre-approval… Bank Credit Application Background Information Sheet State of Personal History Management Résumé Personal Financial Statement T4, T1, Notice of Assessment Financial Information: Business, Personal, & Affiliate Tax Returns Copy of Purchase Agreement Lease Agreement Copy of Business License Equipment Listing Schedule of Business Debt Environmental Phase 1 & 2 Insurance Information Operating Statements Rent Roll …and more… The Capital Loan Program is a low-document program designed to consider the special needs of small business owners and business-for-self clients!
Acadia Mortgage Solutions Inc. 7 Who Needs the Capital Loan? Clients under-served by traditional lenders due to: Inability / Unwillingness to provide business and personal documentation Fast service required Too much credit exposure to the bank Loan requested is under bank’s minimum loan amount Requirement of significant cash out (Equity Take-Out) Higher LTV needed Secondary financing needed behind bank’s loan offer Changes in bank lending philosophy
Acadia Mortgage Solutions Inc. 8 Who needs the Capital Loan? As an alternative to private financing solutions due to: Need for higher LTV Need / desire for Lower Fees Need / desire for lower interest rate Need / desire for longer term Ability show improved credit situation
Acadia Mortgage Solutions Inc. 9 Loan Amounts $100,000 - $1,200,000 Multi-Family (5+ Units) Office Retail Automotive Rooming House Hotels / Motels Mixed Use Light Industrial / Warehouse Self Storage Carwash Bed & Breakfast Funeral Homes Restaurants Daycares Resorts Campgrounds Mobile Home Parks Property Types The Capital Loan Program
Acadia Mortgage Solutions Inc. 10 Non-Eligible Properties Traditional Churches (no alternative use) Raw Land and Farms Construction / Interim Financing Business Loans Health Care Facilities that dispense medications (hospitals, nursing homes) Gas Stations Adult Entertainment Facilities
Acadia Mortgage Solutions Inc. 11 Mixed Use - $145,000 A+ Credit Borrower LTV 80% Owner Occupied BDM visited broker and helped with marketing First commercial property for this client Closed in 38 days Deal View # 1...
Acadia Mortgage Solutions Inc. 12 Automotive - $435,000 Owner occupied Bank not willing to consider due to possible environmental concerns with this type of property Local bank branch referred the client to the mortgage broker Deal View # 2...
Acadia Mortgage Solutions Inc. 13 Office / Retail - $606,750 Significant cash-out Client did not have financials required at bank Owner received advertisement from broker Deal closed in 31 days Deal View # 3...
Acadia Mortgage Solutions Inc. 14 Retail / Office - $920,000 Borrower’s credit 685 LTV 75% Investment property Expedited service from Lawyers Closed in 45 days Deal View # 4...
Acadia Mortgage Solutions Inc. 15 Hotel / Motel - $1,000,000 Refinance – cash out to purchase another property Client was referred to broker by their real estate agent Credit improved from A- to A in process Appraisal came in higher than anticipated (+195k) Deal closed in 59 days Deal View # 5...