Every dollar saved is more cash to your bottom line, so be sure to take advantage of such rehab financing opportunities. With one and two-year options, up to 80% LTV and 85% LTC, you’re completely covered - regardless of your timeline. The one-year loan with CIVIC is a great program for investors that fix and flip properties quickly, while the two-year loan can be better suited for a larger project when you want to avoid the stress of a refinance midway through. On the flip side, the power of refinancing on your terms is where we head next. STRATEGY #3: RECAPITALIZATION Increased equity is the silver lining of today’s market, but what you choose to do with it is key. Absent (or in lieu of) cash out of pocket, your current investment property(ies) may very well be the gateway to accruing additional wealth through real estate. Yes, the concept of a refinance is fairly simple; however, what many investors don’t take advantage of is the concept of cross-collateralization. Whether you have a few properties with established equity, or several properties with slimmer amounts of equity, cross-collateralization enables you to tap into the equity of multiple properties at the same time and refinance them together under ONE loan. For example, an investor has three rental properties valued at $200K each and owes mortgages of $100K each. A cross-collateralized loan enables the investor to leverage the combined equity of $300K as one loan for purposes of acquiring a new investment property. This strategy of recapitalization takes the power of a traditional refinance to the next level, opening doors to new investment opportunities without eating into your cash reserves. Consider this:
get a one-year or two-year bridge loan in as little as 10 days. Having the right source to finance your rehab, in addition to your property acquisition, should be planned in advance and calculated as part of your bottom line… which is where we jump to next. STRATEGY #2: REHAB A solid rehab strategy should not be overlooked. With increased labor and material costs driving construction rates to record highs, it is much more costly to complete a rehab in today’s market. The reduced margins pose higher stakes to budget your projects accurately, so it’s critical to save on every aspect possible. Civic Financial Services finances both acquisition AND renovation costs, so you get liquidity and assistance with cash flow management to ensure the full scope of your project is completed. Consider this: MAXIMUM LEVERAGE: CIVIC finances up to 100% of your rehab budget, simplifying the financing for acquisition and rehab, and keeping you liquid throughout your project. This enables you to handle multiple projects simultaneously, all while maximizing your profits. HOME DEPOT SAVINGS: When you finance your investment property with CIVIC as your lending partner, you gain access to The Home Depot ® Rapid Pass savings program — saving you money on materials nationwide. Need to make multiple trips? No problem. A new coupon can be generated for each transaction. FUNDING MADE EASY: Simply bring your down payment to closing, use your funds to complete the first stage of the renovation, and — as the project progresses — CIVIC will reimburse you for the work completed. It’s that simple.
FIX & FLIP/ BRIDGE LOAN PROGRAM [RESIDENTIAL]
1 YEAR STARTING AT 6.99% 75%-80% NONE $1,195 NONE 1 POINT / 6 MONTHS $100K-$7.5MM NONE
2 YEAR STARTING AT 6.99% 75%-80% 500 $1,195 6 MONTHS 1 POINT / 6 MONTHS $100K-$7.5MM 90%
LOAN TERM INTEREST RATE: LTV MAX : FICO REQUIREMENT: LENDER FEE: 1
PREPAYMENT PENALTY: TERM EXTENSION FEE: LOAN AMOUNTS: DSCR REQUIREMENT: PROPERTY TYPES: PROPERTY VALUATION FEES:
SFR, 2-4 UNITS, CONDOS, PUDs, TOWNHOMES, 5-100 UNIT MULTIFAMILY 2
SFR, 2-4 UNITS, CONDOS, PUDs, TOWNHOMES, 5-100 UNIT MULTIFAMILY 2
STARTING AT $320
STARTING AT $320
COMMERC IAL REV I EW : : 3
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