Get the Approval You Need With a Stated Income Commercial Real Estate Loan
sAt [company_name], we believe in making the loan process as easy as possible. Even if you have been turned away or felt overwhelmed by traditional lending channels, we can help. If you have been turned down because of your credit history or felt dejected because of the invasive application, our stated income commercial real estate loan program is a great alternative.
Critical Differences Between Conventional and Stated Income Loans
A traditional commercial real estate loan requires a lot of commitment and paperwork. A bank or other conventional institution will need an extensive financial history and budget projections. The history of the business and the owner will be considered to ensure the lender is mitigating as much risk as possible. Because of all the hurdles borrowers must go through, traditional loan approvals take a significant amount of time.
A stated income loan is different. Instead of focusing on the borrower’s financials and business history, the lender is more interested in the property in question. As long as the property can cover the taxes, insurance, and mortgage of the loan, the lender’s risks are minimized. The lender can approve these loans faster because they do not need to wade through mountains of documents and paperwork.
Advantages of Stated Income Loans
Since stated income commercial real estate loans focus more on the prospective property than the borrower’s credit rating, there are several advantages to the program. Some of the loan basics that make it so special include:
- Loan limits of up to $500,000
- Qualifying credit score of 600
- 25-year terms
- Fixed rates
- 65% to 75% LTV, depending on property type
- Funds available for debt consolidation, purchasing, and refinancing
- Require self-employment or W-2 documentation