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Guidelines |
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Property Type |
One to four family
residential properties and mixed-use and small commercial properties. MayoBay® does not finance owner-occupied residential properties.
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Lending Area |
Presently Philadelphia
and the surrounding counties in Pennsylvania. We will soon be
expanding into New Jersey, Delaware and Maryland. |
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Credit |
Credit scores are not
the prime factor in the lending equation, but you must show a credit
history that convinces us that you will pay us back. |
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Loan Amounts |
$50,000 to $350,000
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Rehab funds |
The purchase price and
the first draw, to get repairs started, are usually paid out at settlement.
The remaining draws are paid out as the work is
completed. |
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Term |
Typically
nine months,
but may be paid off at any time.
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Rate, Points and
Fees |
Rates range between the
Wall Street Journal Prime (WSJP) + 5% to the WSJP + 10%. The
points vary from 4 to 9 points. The rates and points are
determined by a combination of the payment option chosen, the
qualifications of the borrower and the value of the property.
$100 inspection fee
will be required for each inspection and will be added to the
principal of your loan. We will do an interior and exterior
inspection of the property with 72 hours of receiving the package.
If you wish, and the
numbers and your experience make sense, you can roll the points and closing costs into the total amount of the loan.
Rates and fees are
determined by a combination of your credit, the market, the property and your
experience.
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Payment Options |
There are two repayment
plans depending upon the transaction (click
Payment Options
section for details):
►Monthly
Option
►Zero
Upfront Option
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Ratios |
We're more concerned about the
worthiness of the project than your debt ratios. |
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Lien Position and
Collateral |
First mortgage position
on acquired real estate and perhaps a lien against other real estate
owned until the loan with MayoBay® is paid off. |
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Types of borrowers |
Individuals and all
types of business entities including general partnerships, limited
partnerships, limited liability companies and corporations. |
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Guarantee |
Personal guarantees
required |
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Underwriting
Guidelines |
Tri-merged credit report
obtained by MayoBay®
Property inspections
performed by MayoBay® prior to closing and release of renovation draws
Appraisal obtained by
MayoBay®
Flood Search, if in
flood zone
Title insurance
Property insurance
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Closing |
Normally within 7 to 14
days after complete package submission |
TM 