Existing position
Identify ownership, outstanding balances, lien priorities and current property condition.
BUSINESS-PURPOSE REAL ESTATE FINANCING · REFINANCE & CASH-OUT
Revisit the structure.
Clarify the next move.
Discuss refinancing an investment property or releasing equity for a documented business purpose.
THE RIGHT STARTING POINT
A property.
A purpose. A plan.
Florida and other-state inquiries are reviewed individually. Submission does not establish eligibility or approval.
Use of funds
Explain the refinance objective and how any proposed cash-out will be used.
Repayment capacity
Define the intended exit and the resources available for payments, costs and reserves.
THE FINANCING FRAMEWORK
Know the
starting parameters.
10–12%Annual borrower interest
24Month initial term · interest-only
70%Maximum LTV · land & construction 50%
2–6%Origination fee
Indicative parameters only. Final terms depend on the property, valuation basis, capital source, underwriting and documents. Loans are interest-only with an initial 24-month term. The outstanding principal is due as a balloon payment at maturity. Borrowers may reduce principal or repay the loan in full at any time without a prepayment penalty. In rare and extenuating circumstances, a loan review may take place 60 days before maturity to consider a potential extension of 12 to 24 additional months. Borrower payment history is part of that review. Any extension requires approval and a written agreement; a review does not guarantee an extension.
Explore an interest-only illustration →MAKE THE FIRST REVIEW COUNT
Bring the facts
into focus.
Begin with what you know. Identify estimates and unresolved items clearly. Supporting files can be requested after the initial review.
Open the borrower checklist →- Property address, ownership details and photographs
- Current mortgage statements and estimated payoff amounts
- Requested amount, estimated value and supporting information
- Use of proceeds and any planned improvements
- Target timing, borrower equity and repayment plan
COMMON QUESTIONS
Understand
the details.
Can you consider a second-position mortgage?
Financing generally requires a first-position mortgage lien. Second-position financing may be considered after reviewing the existing first mortgage, available equity and overall transaction, subject to approval. Existing loan terms, total debt secured by the property, valuation and title must be reviewed. Availability and final terms are subject to capital-source approval and documentation.
How much cash can be released?
Available proceeds depend on the accepted value, permitted leverage, existing payoff, fees, reserves and other closing requirements. The headline loan amount is not the same as cash received.
Can I refinance and renovate at the same time?
That can be discussed. Present the existing debt, proposed work, budget and intended exit so the capital requirements are clear.
Will this replace a permanent mortgage?
The structure described here is short-term business-purpose financing. A future permanent refinance requires separate qualification and approval.