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HomeFast Under $1Mill Multifamily Loans

Small Balance Multifamily Loans

Streamlined Funding for Loans Under $1MM

Multifamily Loans
Multifamily Loans for Smaller Assets

 

Achieving Success with Small Balance Multifamily Loans

Your success may well depend upon obtaining optimal financing for your multifamily properties.

Whether you are an experienced property owner or new to multifamily investing, Edgeworth Lending can provide you with the capital needed to improve your cash flow or to acquire a new property.

We originate and arrange highly competitive non-bank, private multifamily loans for smaller asset (5-100 units) multifamily sponsors, syndicators, developers and landlords.

We provide streamlined multifamily loans from $150k to $5 million.

Small Balance Multifamily Loans

Small deals matter. We know through experience that investors can profit by playing “small ball” with smaller multifamily properties.

As rents have risen in many markets, multifamily operators (and their residents) have gravitated toward smaller, less-amenity-centric communities that fulfill the basic need for well-maintained, no-frills apartments that don’t cost a lot to operate and are more affordable to rent.

Smaller multifamily apartment communities are becoming the next big thing in the multifamily segment. After years of historic run-ups in rents across the country, the demand for affordable housing has surged.  With our streamlined non-bank multifamily loans, smaller operators and apartment communities can deliver affordable Class B and C communities to families, while providing just basic amenities.

Edgeworth Lending also advocates for smaller, underserved demographic areas and provides the professional and personalized treatment it deserves – with active lending in secondary and tertiary markets

THE PRIVATE LENDING ADVANTAGE FOR MULTIFAMILY LOANS

Our private lending terms can be more flexible than a conventional or agency loan and it typically has more customizable options, such as interest-only periods, lower minimums, lower Debt Service Coverage Ratios, etc. Maximum leverage can range from 75-85% (in limited circumstances and areas). Personal guarantees are typically required but may be waived with a Non-Recourse loan option for larger deals, depending on the leverage and program.

Our focus is to provide easy, uncomplicated access to capital with our NO TAX RETURN, LITE DOC and NO INCOME VERIFICATION programs. This allows our borrowers to focus on managing their investment property and creating value; not on the lengthy process of applying with a conventional lender.

Our small balance multifamily loans include:

  •  Competitive fixed-rate, floating-rate, and Hybrid ARM capabilities
  •  Up to 30 Year Terms
  •  Full-term interest only options
  •  Non-recourse (based on LTV and loan amount)
  •  Flexible prepayment options
  •  No reserves requirements
  •  No seasoning
  •  Active lending in secondary and tertiary markets

These terms can be difficult to obtain from a conventional bank.

MULTIFAMILY BRIDGE LOANS

Bridge loans are ideal for repositioning a property to get it where it needs to be to secure competitive permanent financing or sell the asset after the project is stabilized or certain “issues” are addressed.

Our BRIDGE LOANS are designed for certain multifamily plays, including:

• Refinance cash outs
• ReFi of maturing loan or impending balloon payment
• Repositioning
• Holdbacks for Rehabs
• Foreclosure Purchase
• Tight Closing Deadlines
• Investor/Partner Buyouts

To qualify as a multifamily investment property, the building must have five or more units (apartments), whereas buildings with four or less units are still classified as residential 1-4 investment properties.

To real estate investors, a multifamily apartment building is a solid real estate investment strategy for generating revenue since its cash flow is significantly higher than a single-family property and its operating cost is less influenced by any single vacancy.

COMPETITIVE TERMS

Having multifamily loans with highly competitive fixed- and floating-rate terms are, of course, a key part of what we offer multifamily investors; manageable 1.10 debt service coverage ratio (DSCR) in certain markets; some programs also offer a maximum of 80% loan-to-value (LTV).

Loan terms across our small balance loan programs are flexible, ranging from 12 months to 30 years, with up to 30 years amortization so loans can be tailored to meet your unique short- and long-term investment needs. Cash-out refinancing and assumable financing options provide for even greater loan customization.

Multifamily investing takes time and requires research, especially for new investors. Consequently, it is important to establish a working relationship with the right lender with the experience and ability to personally guide you through the loan process, ensuring a smooth process with a high certainty of closing.

Please complete the form below so we can call you to discuss your multifamily investment scenario:





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