FBC Funding

About FBC Funding

Based in South Holland, IL, FBC Funding is an asset-based lender offering loans throughout Chicago. They offer bridge loans, private refinancing, hard money construction loans, fix-and-flip hard money loans, commercial hard money loans, and rental property loans. They offer loan amounts ranging from $75,000 to $1,500,000 with a maximum LTV of 80%. Their lending guidelines do not include a minimum credit rating. They will make loans on various property types, including single family homes, multi family residences, apartment buildings, offices, retail storefronts, hotels, storage facilities, senior facilities, mixed use, undeveloped land, churches, warehouse spaces, industrial buildings, and medical buildings.

Loan Types Offered: Investment Property Loans, Fix and Flip Loans, Commercial Hard Money Loans, New Construction Loans, Refinance / Cash Out Loans, Bridge Loans

Property Types Covered: Single Family, Multi Family, Apartment, Office, Retail, Hotel, Storage, Assisted Living, Mixed Use, Land, Church, Warehouse, Industrial, Medical

Areas Served: Chicago

Lending Guidelines for FBC Funding

Below are the general loan guidelines published on the FBC Funding website. Please confirm all terms and rates directly with the lender.

Loan Examples

The following loans are for education purposes only. They do not represent actual loans executed by FBC Funding.

Loan Example 1

FBC Funding makes a fix and flip loan to Ron for a renovation project in Chicago, IL, on a house that costs $320,000. The lender agrees to issue a loan with a 50% loan-to-value (LTV) so they are willing to loan $160,000 on the property. The terms of the deal also include a four percent origination fee which is to be paid at the closing and a 18 month, interest-only note with a 8% rate of interest.

On top of the $6,400 origination fee, Ron will also have to fund $160,000 of the purchase with his own cash, or 50% of the purchase price. After the deal is closed and Ron takes on the property, he will need to begin making monthly payments of $1,067 to the lender ($160,000 principle x 8% / 12 months). At the end of the loan, he sells the rehabed house for $432,000. After subtracting the $19,200 in total interest payments ($1,067 multiplied by 18 months), the $6,400 origination fee, the $160,000 principle amount on the loan, and the $160,000 he contributed to the closing, he will make a total profit of $86,400 ($432,000 price minus $345,600 in total costs). This amount would be reduced by any rehab costs paid by Ron.

Loan Example 2

Clyde takes a private money loan from FBC Funding in order to renovate a townhome to resell in Chicago, IL. The loan has the following parameters:

$270,000 sales price
55% loan to value (LTV)
18 month term
9% interest rate
3% origination fee

Once the renovation project is complete, if Clyde sells the house for $337,500, the numbers would be the following:

$337,500 sales price
- $148,500 principle on note (55% LTV)
- $121,500 cash paid at closing (45% on 55% LTV)
- $4,455 origination points (3% of the $148,500 principle)
- $20,048 interest payments (18 months x 9% interest)
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= $42,998 gross profit (doesn't include taxes or renovation costs)