Dragon Realty Capital offers bridge loans on non-owner occupied single family homes that can close in FIVE DAYS with the following minimum documentation:
- Borrower signed 1003.
- Borrower driver’s license.
- Borrower credit report.
- Recent Appraisal.
- Purchase Contract OR Recent Mortgage Statement/Payoff Demand.
- Preliminary Title Report.
Loan Program Criteria:
Loan Size: $200,000 to $2,000,000 (we will consider loans greater than $2MM on a case-by-case basis).
Loan Purpose: Acquisition or Refinance
Loan Strategies: Fix to rent, Fix and flip, Buy to rent, and Bridge
Loan-to-Value (LTV) Maximums:
- 75% of “as-is” LTV not to exceed 90% loan-to-purchase-price
- 70% LTV for refinance loans with the strategy of fix and flip and fix to rent
- 65% LTV for cash-out refinance
- 70% ARV on loans with construction reserves
- 65% ARV for fix and flip and fix to rent refinance loans
- 60% ARV for cash-out refinance
Term: Up to 24 months.
Occupancy: Non-owner occupied only.
Lien Type: First-position trust deeds and mortgages. All subordinate liens must be co-terminus with or mature after the first mortgage.
Location: United States (excluding South Dakota and Minnesota). No rural properties (if there are fewer than 3 sales comps within 3 miles, the property will be considered rural).
Not Considered: High-rise condominiums in Las Vegas or Florida, First-generation condominiums or housing communities will not be considered.
Rate: Generally loans with fixed note rates of 8.0% or higher, credit dependent.
Junior Liens: Allowed with an intercreditor agreement.
Valuation: DRC requires an appraisal on all properties.
Construction Management: DRC requires approved third-party construction management to oversee the draw process, including inspections. Upon submission of draw requests, DRC will collect third-party progress inspection reports, lien releases, and receipts in order to determine approval of draw request. Loans with construction reserves that exceed $250k or 40% of the unpaid principal balance are subject to a higher level of due diligence and require case-by-case approval.
Borrower Type: Individual or U.S. entity required.
Credit: Minimum middle score of 600 for the borrower/guarantor is required, but exceptions may apply on a case-by-case basis. Credit reports must be 3 month old or less.
Bankruptcy: The borrower/guarantor must be at least one year removed from discharge/dismissal.
Track Record: At least one previous project is required for rehab loans (exceptions on a case-by-case basis). No track record is required for buy to rent and bridge loans
Citizenship: A U.S. Citizen or a permanent resident alien. If borrower is a U.S.-domiciled company then a Certificate of Good Standing must be provided.