A New Solution for 1-4 Residential Investment Financing

By: Zack North

3 Ways Our New Program Helps You Overcome Traditional Lending Hurdles

This just in: Commercial Direct, a division Silver Hill Funding, LLC, is launching a new program to help real estate investors secure financing for duplex, condo, and other 1-4-unit property types.

We know the importance of a fast and efficient loan transaction process for multifamily real estate investors.  That’s why we’re applying the commercial mortgage expertise and speedy underwriting process borrowers enjoy with our core products to this new single family investor solution.

Looking to invest in a residential multifamily property?  Read on to learn how Commercial Direct’s 1-4 Plex Program helps you overcome common hurdles and secure the funding you need.

Challenge #1: You want to list a company as the borrowing entity

Investors of residential multifamily properties regularly establish limited liability companies for tax purposes and many prefer to list their limited liability company (LLC) as the borrowing entity in a mortgage transaction.  Unfortunately, agency programs, like Fannie Mae and Freddie Mac, don’t allow this practice.

Commercial Direct’s solution is differentiated from agency alternatives in that it gives you the opportunity to list an LLC as the borrowing entity for your transaction.  This point alone makes the program an attractive option if you have reservations about borrowing in your own name.

Challenge #2: You’re struggling to meet bank documentation requirements

Investors, like other types of self-employed professionals and entrepreneurs, often have trouble proving their income.  This in turn makes it more difficult for them to meet the documentation requirements enforced by most traditional lenders.

However, Commercial Direct’s 1-4 Plex Program features far fewer documentation requirements than traditional alternatives.  As an example, personal financials like tax returns and 4506Ts are not required at any point in the transaction.  The only documents you need to get started with us are a credit report, a complete loan application, and any pertinent property information (photos, rent roll, etc.).

Challenge #3: You need to secure funding FAST

Let’s face it: no one prefers a drawn-out transaction process.  But investors of smaller properties like duplexes and condos have a particularly strong desire for fast closings.  They regularly find themselves in tight spots thanks to a seller’s deadline, an upcoming balloon payment, or any other complication.

Lenders who average 60 to 90-day closings are likely to undermine your overarching strategy for an investment property.  That’s why Commercial Direct is committed to providing you with a quick and painless transaction process.  Assuming all documentation is in order, we can fund your investment in around 35 days.

Getting started:

While Commercial Direct’s 1-4 Plex Program does feature a number of exciting benefits on paper, the real strength of the solution comes from the experience of our team and the level of service they provide.

You can expect a smooth experience throughout your transaction, as well as a healthy level of communication at every step of the process.  And unlike many traditional alternatives, our team prides themselves on their ability to close loans fast and hassle-free.

Want to take the first step?  Visit our Loan Customizer today to begin designing the loan you need for your 1-4-unit investment property.

Author: Zack North

Zack North is the Director of Marketing for Commercial Direct.  As a regular contributor to a number of top industry publications, Zack enjoys writing about topics that help investors and business owners approach commercial mortgage financing with confidence.

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