The Dragon offers unique multifamily permanent loans for borrowers purchasing or refinancing smaller multifamily properties. DRC has highly-competitive terms and a streamlined execution process that gets you closed faster. Get the flexibility to create a financing solution that works for you.
- Property address, construction date, and year of its most recent renovation.
- Guarantor’s name, investment resumé, and Personal Financial Statement.
- Current detailed Rent Roll.
- Most recent Year End P&L and 12 Month Trailing P&L by Month.
- Unique Property Characteristics (affordability or historical covenants, high student concentration, senior restrictions, active military, etc.).
- Refis: Amount of existing debt, when due, PPP.
- Purchases: PSA.
Loan Program Criteria:
LOAN AMOUNTS & UNIT LIMITATIONS: $1 million to $7.5 million in all markets. Note: Loans between $6 million and $7.5 million in Small and Very Small Markets by exception. Loans less than $6 million no unit limitations. Loans between $6 million and $7.5 million up to 100 units (exceptions permitted above 100 units) .
LOAN PURPOSE: Acquisition or Refinance (Cash-Out available.
ELIGIBLE PROPERTIES: Conventional multifamily housing with five residential units or more. Mixed use subject to limitations.
LOAN TERMS & RATE STRUCTURES: 20 Year Hybrid ARM with initial 5-, 7-, or 10-year fixed-rate period. 5-, 7-, or 10-year fixed-rate mortgage. Partial interest-only and full-term interest-only may be available.
AMORTIZATION: Up to 30 years.
PREPAYMENTS: Declining schedules and yield maintenance available for all loan types.
DEBT SERVICE COVERAGE: 1.20x Top Markets, 1.25x Standard Markets, 1.30x Small Markets, and 1.40x Very Small Markets.
MAXIMUM LTV: 80% available in Top and Standard Markets.
RECOURSE: Non-recourse with standard carve-out provisions.
NET WORTH & LIQUIDITY: Net worth equal to or exceeding loan amount. Liquidity equal to or greater than 9 months P&I prior to closing.
CREDIT: Minimum middle FICO score of 650.
OCCUPANCY: Minimum 90% occupancy of units for 90 days prior to underwriting.