Published February 28, 2013
If you would you like to save time and money in purchasing or refinancing apartment loans, read this post.
Since the recession hit in 2008, it has been more difficult to get an apartment loan. Even wealthy, experienced multifamily investors often have a tough time now getting an apartment loan. They may have high net worth, but they lack the amount of liquidity needed. Or the property they want to refinance is now more difficult to refinance because of tougher requirements of the lender.
Therefore it is essential that, well before you wish to purchase or refinance a multifamily property, you do your due diligence with a very good commercial loan source so that you know what the requirements are – the requirements for you, the borrower, and also the requirements for the property.
Here are a couple of examples of borrowers who recently did NOT qualify for a commercial loan.
- A borrower was turned down for refinancing his multifamily property because he was short the amount of liquidity he needed for the loan. And worse, he was in trouble with his current lender, because his loan was about to expire. At least a couple of years earlier, he should have requested information about the loan requirements for this economy.
- Another experienced apartment building owner was very disappointed to find out he could no longer purchase an apartment building with a good rate and terms because his credit scores were too low. Since the recession hit, credit score requirements have become tougher.
Find a commercial loan provider with good credentials and lots of experience. At Apartment Loan Store, we have an A+ rating with the Better Business Bureau. We have been in business for 15 years. Importantly, we will take the time to help you learn what it will take for you to get the property you want. Call 866-811-9515 now to see if you pre-qualify and to get answers to your questions.
Bruce Painter, Marketing Director