T&M Commercial Funding

About T&M Commercial Funding

T&M Commercial Funding is an Auburn, ME based private lender who provides loans in 47 states across the US. They provide lending solutions for a variety of situations and needs, including bridge loans and commercial hard money loans. They issue rates ranging between 12% and 14% and terms between 6 months and 4 years. They provide loans on all the following types of properties: multi-family units, apartment buildings, office units, retail spaces, hotels/motels, storage buildings, senior facilities, mixed use spaces, warehouse spaces, industrial facilities, and medical buildings.

Loan Types Offered: Commercial Hard Money Loans, Bridge Loans

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

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

Lending Guidelines for T&M Commercial Funding

Below are the general loan guidelines published on the T&M Commercial 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 T&M Commercial Funding.

Loan Example 1

T&M Commercial Funding makes a private money loan to Don for the purchase of a new building after he is denied a conventional mortgage loan by his credit union due to a low FICO score. Since the borrower and lender agree to a 55% loan-to-value (LTV), Don will pay $81,000 toward the closing and the principle will be $99,000 because the price of the building is $180,000. In addition, the lender will charge a 1 percent origination fee to go along with the 11%, 18 month term on the loan. They agree to not enforce a pre-payment penalty if Don pays off the note early. Don may eliminate the loan at any point by paying off the $99,000 of principle, but he will be required to pay $908 monthly interest payments ($99,000 principle value x 11% interest / 12 months in a year) in the interim, or up to the point the note expires. Because there is not a pre-payment penalty, the only additional expense he would have is the $990 origination points which he will contribute at closing.

Loan Example 2

T&M Commercial Funding makes a bridge loan to Bertha for a rehab project in Houston, TX. The loan includes the following:

$300,000 purchase price
60% loan to value (LTV)
18 month term
12% interest rate
4% origination fee

Bertha intends to sell the property when the note expires for $360,000. If she succeeds, the outcome will be as follows:

$360,000 sales price
- $180,000 note principle (60% LTV)
- $120,000 down payment (40% on 60% LTV)
- $7,200 origination fee (4% of the $180,000 principle)
- $32,400 interest payments (18 months x 12% interest)
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= $20,400 gross profit (doesn't include taxes or rehab costs)