Six Easy Steps Follow these Six Easy Steps to get the money you need Step One – Application: Complete the application on this website. Once submitted, your initial application will be reviewed by our pre-approval team. You will then be contacted to go over your particular situation. If appropriate, we will issue a Letter of Intent and/or Loan Commitment based upon the facts of your initial application. If the property is not appropriate or we cannot help you, you will be told that immediately. Step Two – Documents: If you are preliminarily approved, we will ask you to provide additional information and documentation including, but not limited to, the following items: *Copy of Sales Contract and any deposit check(s) *Copy of Driver’s License *Contractor’s Bid = Detailed list of repairs and draw schedules, including material and labor costs, copies of your contractor’s estimates or contracts *Copies of any appraisals or inspection reports of the property *Provide copies of all your L.L.C. or Corporate documentation *Addresses of any cross-collateral property, if any *Upon preliminary approval, you will be asked to pay for any 3rd party costs including; property evaluations, credit reports, inspections, etc. The amount of these fees will be disclosed to you ahead of time Step Three – Appraisal and Title: Upon receipt of all documentation and payment of Application Fee, Title to the property will be ordered and examined and, if required, an appraisal and/or property inspection will be ordered. The appraiser or inspector will contact you directly to set up a day and time for inspection. Payment for the appraisal and/or property inspection MUST be paid at the time of inspection and is NON-REFUNDABLE. You will be told the cost for these inspections at the time the appointment is set up with you. Step Four – Insurance and Closing: AFTER you have provided evidence of General Liability Property Insurance in an amount equal to the total loan amount and there are no appraisal, inspection or title issues, loan funds will be made available to you through the closing/settlement with a Title company. If you are doing rehab work, you will be required to obtain a Builder’s Risk Policy or Non Occupied Policy, also if the work is being done by a contractor, they must provide a copy of their General Liability Insurance and Proof of Workmen’s Comp Insurance. You will be responsible for all closing and insurance costs. If you are in the negotiation process, we encourage you to get the Seller to contribute as much as possible toward closing costs. The lender will not care and it will keep your “in” costs as low as possible. Step Five – Construction/Rehab Draws: If your loan is a rehab / construction loan, you will establish a construction escrow, usually there are 3 to 4 draws required. Once a phase is completed, you will call to have a property inspection arranged. Once the inspection is done and approved and the mechanic’s lien waiver is executed, the lender will release the draw to your account. The final draw is NEVER released until the project is completed. You will be responsible for construction draw inspection fees, which generally range from $100.00 – $150.00. These fees must be paid either at time of inspection, or sometimes up-front at settlement. Step Six – Sell or Refinance: Within the pre-determined loan term, you must sell or refinance the property to make certain the loan is paid off in full at the time set. The Title/Escrow Company will disperse the funds, you will then receive your check of the remaining. MoneyforFixandFlips (801) 613-0444
Posted on: Mon, 10 Jun 2013 21:47:37 +0000
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