COMMERCIAL LOANS
MULTI FAMILY LOANS
APARTMENTS 
5 UNITS OR MORE
LOANS $250,000 PLUS
OWNER OR
NON OWNER OCCUPIED
1st and 2nd TRUST DEEDS

COMMERCIAL LOANS
RETAIL/BED&BREAKFAST 
BUSINESS COMPLEX
WAREHOUSE/OFFICE
GAS STATION
MARINA
RESTAURANT/SBA
PROGRAM HIGHLIGHTS
Terms To 30 Years
Up To 80% Loan-To-Value
Fixed Rate
Adjustable Rate
Cash-Out OK
PURCHASE LOANS
Commercial and Apartment loans to 80%  of the property's value.  Fixed rate and ARM loans.  Interest rates vary according to quality and use of property.
REFINANCE LOANS
Commercial and Apartment loans up to 75% of the property's value.  Fixed rate and ARM loans.  Loans to lower your payment or get cash-out.  Interest rates vary according to quality and use of property.
www.billvarney.com
THE COMMERCIAL LOAN PROCESS
( A Simplified Version...)
Overview
Each commercial transaction is looked at on an individual basis.  Lenders grade properties based on their location, condition, cash flow and use.  Rates, fees and terms are based upon the property grade.  The first step is to determine the loan size as measured by the property's monthly cash flow.  Normally, lenders require a debt coverage ratio of 1.20%.  This ratio is determined by dividing the monthly property expenses by the monthly gross income.  A simple example might be:  income $1200/month / expenses of $1000/month = 1.20% debt service coverage.

The Beginning
First, we collect the property's financial statements.  These include the rent roll, rental agreements and 2 years of income and expense information.  After taking pictures of the property we submit the application, financials, credit report, bank statements and pictures to the lender for consideraton.  They review this information and grade the property.  A letter of interest, based on the property grade, is issued by the lender spelling out their offer.

The Middle
Upon acceptance of the bank's offer the borrower forwards the appraisal fee and it is scheduled.  The appraiser takes approximately 2 weeks to complete his work.  During that time we open escrow and order title insurance.  Once completed the appraisal, title, escrow instructions and other items are forwarded to the decision maker for final underwriting.

The End
Upon final loan approval the loan documents are printed and sent to escrow.  Once signed the loan documents are forwarded to the funder for final inspection.  The loan is then funded and records the following day.  Funds are dispursed  to the borrower and all other parties.
BILL VARNEY
(714) 377-9001
bvloans@mail.com

Bill Varney Is A Real Estate Broker Licensed By The California Department Of Real Estate
License Number  01208311 NRMLS 344109

www.billvarney.com


For rates, fees and general questions please call me today for more information on your commercial loan project.  
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Bill Varney, Broker
Information on this page is for educational purposes only.  Specific questions for real property transactions and credit items should be directed to your attorney, tax preparer and C.P.A..  Copyright 2011, reprint by permission only
bvloans@mail.com
(714) 377-9001
"Please call me.  I'm here to help!"