Northborough Capital Partners

About Northborough Capital Partners

Headquartered in Providence, RI, Northborough Capital Partners is an asset-based lender offering funding in Massachusetts, New Hampshire, Rhode Island, Maine, and Connecticut. They offer loans for a variety of situations, including refinancing, ground up construction loans, fix-and-flip loans, private commercial loans, short term loans, and loans for rental properties. Their lending guidelines are flexible, including rates ranging between 12% and 16%, loan amounts ranging from $100,000 to $3,000,000 with a maximum LTV of 75%, and terms between 6 months and 12 months. They offer loans on all of the following property types: single family homes, multi family residences, apartments, office units, retail storefronts, hotels/motels, storage buildings, senior facilities, mixed use spaces, warehouse buildings, industrial facilities, and medical offices.

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, Warehouse, Industrial, Medical

Areas Served: MA, NH, RI, ME, CT

Lending Guidelines for Northborough Capital Partners

Below are the general loan guidelines published on the Northborough Capital Partners 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 Northborough Capital Partners.

Loan Example 1

Northborough Capital Partners issues a fix and flip loan to Lynette for a rehab project in Boston, MA, on a house that costs $240,000. The terms of the note include a 65% loan to value (LTV), so she must bring 35% of the price as cash to closing, which makes the principle note amount $156,000. The interest rate on the loan is 9% for a term of 12 months and the lender requires a two point origination fee at closing. The interest payments are to be paid monthly and the principle amount will be repaid after the sale of the property.

According to the parameters of the note, Lynette will have to pay a $3,120 origination fee plus 35% of the purchase price, or $84,000, based on the 65% LTV. she will then pay $1,170 monthly to Northborough Capital Partners. Lynette's plan is to finish the remodel by the end of the 12 months and sell it for $312,000. If she succeeds she will collect a profit of $54,840 ($312,000 sales price - $156,000 principle amount - $84,000 cash at closing - $3,120 origination fee - $14,040 in total interest paid.

Loan Example 2

Northborough Capital Partners issues a loan to Rena for a renovation project in Boston, MA. The loan includes the following:

a) A $380,000 purchase price, b) a 60% loan-to-value (LTV), c) a 12 month term, d) a 8% interest rate, and e) a 2% origination fee.

If Rena accomplishes her goal of a $456,000 sales price, the numbers of the project would be as follows:

$456,000 sales price
- $228,000 principle (60% LTV)
- $152,000 cash paid at closing (40% on 60% LTV)
- $4,560 origination fee (2% of the $228,000 principle)
- $18,240 total interest paid (12 months x 8% interest)
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= $53,200 total profit (doesn't include taxes or rehab costs)

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