Rapid Commercial Loans

About Rapid Commercial Loans

Rapid Commercial Loans are private money lenders actively originating Private loans for commercial properties nationwide. With traditional lenders tightening up on their lending criteria, private money loans for commercial properties are becoming the most efficient loan product for many borrowers seeking to close quickly without the hurdles of conventional financing. If traditional banks are turning you down, need a quick close on an acquisition, need a bridge loan until the property stabilizes its income, looking to acquire a property from a commercial auction, or are you looking for a foreign national commercial loan, a private lending is your solution. We will ensure that you don�t get caught up with all the paperwork of traditional banks and government guaranteed loans to make your private loan a smooth process. In most cases, RCL arranges a take-out loan to the private loan to guarantee security for our clients.

Loan Types Offered: Hard Money Loans, Commercial Hard Money Loans, Bridge Loans

Property Types Covered: Office, Retail, Hotel, Storage, Assisted Living, Mixed Use, Warehouse, Industrial, Medical

Areas Served: AL, AR, AZ, CA, CO, CT, DC, DE, FL, GA, IA, ID, IL, IN, KS, KY, LA, MA, MD, ME, MI, MN, MO, MS, MT, NC, ND, NE, NH, NJ, NM, NV, NY, OH, OK, OR, PA, RI, SC, SD, TN, TX, UT, VA, VT, WA, WI, WV, WY

Lending Guidelines for Rapid Commercial Loans

Below are the general loan guidelines published on the Rapid Commercial Loans 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 Rapid Commercial Loans.

Loan Example 1

Ian is a real estate investor in Houston, TX. He finds an older property for sale and wants to renovate it and resell it for a profit. The property costs $400,000 but he doesn't have the full amount so he obtains a hard money loan with Rapid Commercial Loans. Since the lender sets a 65% loan-to-value, Ian will be required to put 35% down so the total amount of the note will be $260,000. The rate on the note is 8% for a term of 6 months and the lender requires a five point origination fee at closing. The interest payments are to be paid on a monthly basis and the principle will be paid back after the property sells.

In addition to paying the $13,000 origination fee, Ian will also need to fund $140,000 of the purchase with his own money, or 35% of the sales price. Once the loan is executed and Ian takes the project, he will need to begin making monthly payments of $1,733 to Rapid Commercial Loans ($260,000 principle x 8% / 12 months). If Ian sells the rehabed house for $600,000 at the end of the 6 month term, his gross profit (not including rehab costs) would be $176,600. This is computed by taking the purchase price ($600,000) and subtracting the original note amount ($260,000), the origination fee ($13,000), the money he contributed to closing ($140,000), and the total interest payments ($10,400).

Loan Example 2

Rapid Commercial Loans makes a private money loan to Morris for a remodeling project in Houston, TX. The deal dictates the following:

$380,000 purchase price
85% loan to value (LTV)
12 month term
9% rate of interest
1% origination fee

If Morris accomplishes his goal of a $570,000 sales price, the outcome of the deal would be the following:

$570,000 sales price
- $323,000 note principle (85% LTV)
- $57,000 cash paid at closing (15% on 85% LTV)
- $3,230 origination fee (1% of the $323,000 principle)
- $29,070 total interest paid (12 months x 9% interest)
-----------------------
= $157,700 gross profit (doesn't include taxes or rehab costs)

No Reviews Yet

Rapid Commercial Loans currently has no reviews. To add a review now, click the link below:

Write a Review for Rapid Commercial Loans