Multifamily Investment Property Loans
MCC can provide permanent financing for the acquisition, expansion or renovation of multifamily properties.
| Total Project Cost - | Max. individual loan of $5,000,000. $8,000,000 per relationship. | |
| Terms - | Up to 30 year amortizations. No balloons or calls. | |
| Loan to Value - | 60% to 80%. | |
| Debt Coverage - | Minimum of 1.2x for combined debt. | |
| Interest Rate - | Variable, 5 year, or 10 year fixed rate. | |
| Occupancy - | 80% minimum at time of origination and projected going forward. | |
| Cash out - | Cash out refinances will be permitted with a maximum LTV of 70%, debt service of 1.25x or higher and a minimum occupancy of 85%. | |
| Acceptable Markets - | Metropolitan Statistical Areas (MSAs) with 50,000 or more in population. | |
| Collateral - | Secured 1st lien "fee simple" position. | |
| Key Principal - | Individuals with 20% or more ownership in the project are considered key principals. As such, a current rent balance sheet and three years tax returns are required. | |
| Recourse - | Limited guarantees available for those that qualify. | |
| Personal Credit - | Minimum FICO score of 650. Cannot have been a defendant in a mortgage foreclosure proceeding or bankruptcy in the past 7 years. | |
| Experience - | Must demonstrate previous and acceptable multifamily ownership experience. | |
| Reserves - | Reserves for capital items, taxes and insurance will be underwritten but generally not collected. | |
| Application Process - | 24 hour prequalification, 3-4 day commitments, closings to fit your schedule! | |
| We sincerely look forward to helping you and your business. Please contact us with any questions or concerns you may have. | ||
