loan package preparation

Hi all! I have been investing a little over 2 years now and have done mostly small single family homes with conventional financing. I want to open up a little and expand to small apartment buildings and mixed used commercial (2-10 units max). I am trying to learn how to properly build a loan package to present to lenders. Do I build the proposal based on my entire portfolio, do I create the proposal with just the subject property details plus my credit and asset situation, etc. Any help would be greatly appreciated or if anyone can point to a good example. Thanks in advance!

Hi,

Different lenders will require different things, so it all depends on the lender and what they need. But you should present the information only on the property you are trying to acquire.

However, there are some items that all lenders will require in one form or another:

  1. Completed 1003
  2. Explanation & understanding of the income stream (broken out into detail).
  3. Explanation & understanding of all expenses (also broken out into detail).

Also be prepared to answer questions regarding large changes in income or expenses from year to year.

Good luck,
Patti

Hi;

I am a associate for a private equtiy fund.

Most Commercial investors require a minimum of salient facts.
As follows:

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Rent roll one to two years proir

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Income and expense reports last three years

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Photos front, back, street scene.

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A short loan summary if you want to e-mail me directly and i will send you one or templates if you need them.