INTEREST RATES:
While rates of 10% to 12% are typical for quick-close, short term bridge loans, W Financial will also consider offering rates as low as 9% with terms as long as three years for qualifying cash-flowing, multi-tenanted properties. Most of our loans are structured with a floating rate. In some cases we can offer a fixed rate or a lower rate coupon with a look-back IRR achievement upon repayment of the loan.
LOAN-TO-VALUE:
For first mortgages, W Financial will typically lend up to 75% loan to value - to be determined on a case-by-case basis. Mezzanine and second mortgage loans will only be considered on cash-flowing properties for strong sponsors with real expertise, net worth, liquidity and meaningful guarantees.
PREPAYMENT:
Our loans typically have no prepayment penalty after a short lockout period.
POINTS:
The loan origination fee will typically range from 1% to 3% of the total loan amount. In some cases some portion of the origination fee may be structured as an exit fee (deferred until the loan is repaid).
GUARANTY:
Most loans are structured with full recourse.
BROKERS:
Most loans are introduced to W Financial by our valuable network of mortgage brokers. We always welcome the opportunity to expand our network of commercial mortgage brokers, so call or email us with your first mortgage bridge loan opportunities.
PAYMENT RESERVE:
Depending upon the nature of the loan request and the financial strength of the Sponsor, we may structure the loan with a Payment Reserve to cover part of the monthly payments.
|
