Matthew DePaola, MBA

SBA 7(a) & 504 Real Estate Purchase Loan Application From Start To Funding The most frequently asked question I receive by far is how long does the loan application process take to complete from start to finish. The quick answer is 45 - 60 days. The honest answer is it takes as long as necessary to complete all steps in the process. The next logical question is what are the steps. Here is a list of each step in order with an explanation. Before I begin, I want to emphasize the timeline starts from the day the lender receives the monetary Deposit, usually $2,500 or $5,000 and the signed Letter of Interest or Term Sheet. Step 1: Loan Application Needs List. This needs list is sent to the Applicant by the Lender in preparation for underwriting. Included are General Application Forms and SBA Forms 1919, 413 and 912 if necessary. It typically takes 2 - 4 days for the lender to generate this needs list from receipt of the monetary Deposit and signed Letter of Interest. Step 2: Underwriting. The amount of time to underwrite the loan is 1 - 3 weeks depending on the lender's pipeline density, available underwriters and support resources and outstanding information required by the underwriter to render a decision. Step 3: Credit Decision. The credit decision is announced upon completion of underwriting or the conclusion of ”loan committee.” Some lenders shepherd loan requests through individual underwriters in an underwriting loan center. Other lenders maintain a decision making body referred to as “loan committee.” It takes 5 - 10 days for an underwriter to review a loan application and either return to the applicant with questions or a credit decision, meaning the loan is either approved or declined. Loan committees decide a loan in the committee meeting which is typically held one day per week or every other week. SBA 504 loan requests require a separate SBA Approval called an Authorization which may add an additional 5 - 10 days to the entire application process. Step 4: Commitment Letter. The commitment Letter outlines conditions required to close the loan and is sent to the Applicant 2 - 4 days after loan approval. This step begins the process of ordering third party reports and the collection of closing documents. Step 5: Third Party Reports & Closing Documents. A real estate appraisal is ordered by the lender to be performed by an SBA approved third party appraisal company. The appraisal may take 2 - 3 weeks to complete with an additional 2 - 5 days for lender review. If a business acquisition is included with the real estate purchase, a business valuation is also ordered which also takes 2 - 3 weeks with an additional 2 - 5 days for lender review.

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Let's Talk Mortgages: What is Amortization? Amortization is the systematic repayment of a loan over a set period through regular, scheduled payments. With each payment, you're chipping away at both principal and interest, bringing you closer to owning your home outright. This structured approach provides a clear timeline for paying off your mortgage, helping you stay on track to debt-free homeownership!

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INVESTORS: Elevate your real estate portfolio with personalized financing solutions crafted specifically for investment properties. ITIN Loans: Unlock opportunities with our specialized mortgage loan program tailored for borrowers holding an ITIN instead of an SSN. 🏠 Whether you're expanding your real estate holdings or venturing into investment properties for the first time, our dedicated team is poised to offer expert guidance customized to your unique investment objectives. 💼 Drawing on our extensive industry expertise and unwavering commitment to your success, we'll navigate you through the intricacies of real estate financing, ensuring you capitalize on opportunities that align with your financial goals. Ready to take your real estate investments to new heights? 🌟 Connect with us today to explore tailored financing options designed to maximize your returns! 📞 Call 877-787-7463 or visit 💻 mypcf.com | Check the link in the bio for more information. #RealEstateInvesting #PropertyInvestment #ITINLoans #InvestmentPortfolio #RealEstateFinance #InvestmentOpportunities #FinancialGoals #RealEstatePortfolio #PropertyFinance #ITINMortgage #InvestmentProperties #MaximizeReturns #TailoredFinance #RealEstateGrowth #InvestmentStrategy #FinanceOptions #primechoice #goprimechoice

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🎯 Capital Fundings Mortgage Fund One investors – it’s time for your monthly update! In this video, we break down the August distribution factsheet, showcasing an impressive 10.71% return. 🏦 Learn how we’ve managed to consistently grow our returns, and hear about our new partnership with tax and audit industry leader Con Reznik, which brings added transparency and credibility to your investments. We’re excited about future growth, with our eyes set on hitting $10M in assets under management. Whether you’re an existing investor or looking for a reliable, conservative fund with consistent returns, this video gives you the key insights you need. 💡 Interested in investing or have any questions? Reach out via email, call, or text – let’s discuss how Capital Fundings Mortgage Fund One can help grow your portfolio! 📈 Subscribe for monthly updates and insider tips on real estate investing and fund performance. #RealEstateInvesting #PrivateMoneyLending #CapitalFundings https://lnkd.in/etWWCNgQ

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🔦 PrimedUp FAQ Spotlight: What's the Minimum Down for a Multi-unit Property? 🏠🏠 🔑 Are you considering an investment in multi-unit properties? With recent changes in conforming loan guidelines, you can now step into the role of a property owner with just 5% down. This shift opens up opportunities to purchase Duplexes, TriPlexes, or even 4-unit properties without the hefty initial financial burden typically associated with investment properties. 💰 Additionally, you can bolster your qualification by counting potential rental income from these properties. This makes stepping into a multi-unit real estate investment more accessible than ever before! 📞 Ready to explore your options? Contact PrimedUp Home Lending to see how easily you can qualify and start earning from your investment. 📧 // info@primedup.com 📷 // DM @primeduplending (IG) 📞 // 916-891-1283 . . . . . #RealEstateInvesting #MultiUnitProperties #RentalIncome #PropertyInvestment #MortgageTips #RealEstateTips #MultifamilyProperties #RealEstateAdvice #Duplex #TriPlex #FourPlex #SacramentoRealEstate #MortgageAdvice #MortgageStrategy #FinancialStrategy #CaliforniaRealEstate #ConformingLoans #LowDownPayment

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David Chera just worked his magic on a $2,691,000 DCSR loan to refinance an impressive 8-unit building in Kings County, New York - turning dreams into reality, one success story at a time! Don't miss your chance to transform your investments with David's expertise. Reach out today and let's kickstart your journey to real estate success! #RealEstateInvesting #InvestmentSuccess #ExpertFinancing #PropertyPortfolio #PropertyFinancing #PropertyInvestments #SuccessStories #SmartInvesting #ProfitableProperties #RealEstateWealth #ROIChampion #CashflowInvesting #StrategicInvestments

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Peel back the layers of loan approval complexity with loansjagat.com! Discover a simpler way to secure your financial future today. 

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SBA 504 Rates are out for October! Also new in October, the SBA has expanded eligibility criteria for the SBA 504 Refinance Program, with changes effective November 15. Key Program Updates: - Increased Loan-to-Value: Maximum loan-to-value ratio raised from 85% to 90% for refinancing without expansion, including cash out for Eligible Business Expenses (EBE). - Elimination of EBE Cap: The previous 20% cap on EBEs has been removed, offering more flexibility. - Relaxed Government Debt Refinancing: Any savings on proposed payments now qualify as sufficient to meet the substantial benefit test for refinancing government debt (previously required 10% savings). - Expanded Eligibility: “Other secured debt” now qualifies as an EBE in debt refinancing without expansion, allowing for the refinancing of many working capital loans. - Easier to Qualify: Only 75% of the original loan needs to have been used for Eligible Fixed Assets in both 504 refinancing programs (previously 85%). Call a TCM Loan Officer to learn more! Debby Gustafson Sheil Nelson Mike Kinderman Michael Kinninger

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Investing in land can be smart, but financing it often means exploring different loan options. Swipe through to discover the PROS and CONS of land loans. For a comprehensive guide, head to the Crexi blog ➡ https://bit.ly/3AmpmTB. #land #cre #commercialrealestate

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Tip of The Day: Engage Early in the Appraisal Process! At Ascendant Valuation Advisors, we believe that involving your appraisal team early in the process is crucial, especially when considering significant investments or changes. Here’s why early engagement matters: Informed Decision-Making: By bringing in your appraiser at the outset, you gain access to expert insights that can shape your strategy and help you make more informed decisions. Tailored Guidance: Early involvement allows our team to understand your goals and the specific context of your property, leading to more customized advice and recommendations. Identifying Opportunities and Challenges: Engaging with your appraisal team early can help pinpoint potential issues or opportunities that may impact the value of your property, enabling proactive planning. Streamlined Process: By collaborating from the beginning, you can streamline the appraisal process, ensuring that all necessary information is gathered efficiently and accurately. Don’t wait until the last minute! The sooner you involve your appraisal team, the better prepared you will be to navigate the complexities of the real estate landscape. Let’s connect and discuss how early engagement can benefit your property strategy! #PropertyValuation #RealEstate #EarlyEngagement #InformedDecisions #Appraisal #CommercialRealEstate

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Help your clients to invest confidently with Valere Financial! Rates starting in the 7’s for purchase DSCR loans with no PPP. ⚡ Below is a LIVE purchase scenario pricing out at 7.750% with lender credit.   DSCR loan for purchase of an investment property: · Loan amount: $1,000,000   · FICO: 720   · LTV: 75   · Purpose: Purchase   · Occupancy: Investment Property   · Income Documentation: Investor Cash Flow DSCR  · DSCR: 1.0   · Property type: 1 Unit  · Compensation: BPC   · Amortization: 30 FRM  · Prepayment Penalty: None Review the full stack of rates, LLPAs, as well as any eligibility issues with your scenario, all in one place: https://lnkd.in/eRrBdUKi Contact an account executive to learn more: sales@valerefinancial.com 📲 #valerefinancial #nonqm #mortgage #realestate #investment

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Stand out in the appraisal industry - Learn from industry experts in Valuation Review's recent “Marketing Your Business for Success” report! Valligent’s Chief Operations Officer, George Paquette, shares actionable tips on leveraging strengths, harnessing technology, and prioritizing professionalism. Read more here:https://hubs.ly/Q02y_SjR0 #appraisal #marketing #valligent

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🚀 Understanding the nuances between Hard Money Lenders and Private Lenders can significantly impact your financing strategy! Whether you’re diving into real estate investments or need funding for a project, choosing the right type of lender is crucial. 🏡💼 🔗 This comprehensive guide clearly explains the differences and could be a game-changer for your financial decisions: https://lnkd.in/euTumKdp Here's why this matters: -Risk Management: Knowing who you're dealing with can save you from future headaches. -Cost-Effectiveness: Selecting the right lender could mean better terms and lower costs. -Speed: In many scenarios, time is money. Understanding which lender can move faster can be pivotal. 👉 Whether you're a seasoned investor or just starting out, grasping these concepts can propel your projects to the next level! ✅ Like, Comment, and Share if you find this helpful! 🔄 Feel free to Repost for your network! #RealEstateInvesting #FinanceTips #HardMoneyLending #PrivateLending #InvestmentStrategies #equitylendingsolutions

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💰Master Loan Calculations with PMT and IPMT!💰 If you're in commercial banking, real estate, or financial planning & analysis, understanding PMT and IPMT is essential for managing debt schedules! 💼 The PMT formula calculates equal payments over the life of a loan, while IPMT calculates the interest portion of each payment. Together, they help you break down principal and interest payments for better financial planning. 🏦 For example, to calculate the monthly mortgage payment for a $1 million mortgage at 5% for 30 years, you can use the PMT function. Stay tuned for our detailed guide on using PMT and IPMT in loan calculations! #ExcelTips #FinancialAnalysis #PMT #IPMT #LoanCalculations #DebtSchedules #CommercialBanking #RealEstate #FPandA

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FUNDED DEAL: RCN Capital, a national direct private lender, funded a $96,000 1st lien position DSCR loan for the purchase of a single-family home in Hammond, IN. We funded 78% of the $120,000 purchase price, while the Borrower contributed 22% cash at closing. The 1,100-square-foot home which was in good condition, appraised for $123,000 as-is, and Collateral Desktop Analysis was pending at the time of review. The property at that time was being leased at $1,200/month, which was just about the same number that the appraisal showed as the market rental rate, and resulted in a 1.17 DSCR. The Borrower had good credit and good liquidity to close the deal. The loan term was set at 30 years with a 3-year prepayment penalty. The interest rate was fixed at 8.56% with amortized payments. This DSCR purchase loan was funded in June 2024. Visit this page on Private Lender Link to learn more about the deal and the lender: https://pllk.io/211202 Dealmaker: Austin Pallone, Loan Officer #privatelending #privatemoney #privatelenders #privatemortgage #hardmoney #hardmoneylenders #hardmoneylending #bridgelending #bridgelenders

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