Our land loan review and funding can be used for the following :
Raw land loans are designed to be a bridge:
Development for construction of residential lots , commercial lots and site preparation
Infrastructure - roads - other
Entitlements for zoning
Underwriting Raw Law Land :
Typical funds occur at 50 - 70 % of “as is value” if existing appraisals, consider the
Marketing exposure time noted. Less than 12 months is key.
Loans may be funded "up" for development as improvements will increase the value
Basic - what will it cost to develop?
What is the source of capital for development and entitlements?
What is intended use of land?
What is access?
what is the general area?
What is topo and how will it affect engineering and grading
For purchase, typically 65% of cost at most
Items needed for consideration for funding:
Initial Loan Request (see link)
Loan application (apply online on this site)
"the story" of the deal , should include the following :
Details on the land (survey, vicinity map, zoning issues,history, ...why should the loan or development take place?)
Explain the exit strategy and loan repayment.
Borrower background resume : - Can we see references of past projects, equity partners and ability to execute,deliver within budget