We Are Nationwide Experts in Creative Financing
We have provided a real estate lending solution for all types of multifamily loans, including construction multifamily loans, conversion multifamily loans, acquisition multifamily loans, and refinance loans. Our multifamily real estate loans have been specifically designed to take advantage of the tax benefits available through depreciation and amortization deductions.
Our lenders will also consider some properties that may not qualify for a traditional loan, with many other flexibilities regarding debt service coverage ratios and length of payback periods. We are flexible enough to do business with all commercial lending scenarios, including large and small loan amounts.
Our loans can finance commercial properties in California and in the US, such as apartments, office buildings, retail units, and industrial sites. Most lenders consider apartments to be the safest type of multifamily property financed with a streamlined process. Our multifamily loan solutions can also finance mixed-use projects such as retail and office space combined with apartments. This is a prevalent multifamily financing scenario that many lenders avoid. Our goal is to provide our clients with innovative, creative solutions for their commercial lending needs; therefore, we have had success in funding projects that most lenders consider too risky.
Although your options may be limited if you’re looking to finance a purchase or refinance a loan for a multifamily property, there are still many options available. We will let you know what your options are and take you through the process to help you make an informed decision.
- Loans: from $1 million to $100 million.
- Ability to close loans in as little as 45 days.
- A variety of products that work for the financing solution you need, nationwide.
- Higher loan to value/leverage.
- No recourse.
- No tax returns are needed.
- Creative, out-of-the-box solutions.
- Low-interest rates loans.
What Is Multifamily Real Estate?
Multifamily housing is referred to any rental property with two or more units. On the smaller end, multifamily housing can refer to duplexes or triplexes. Multifamily housing includes both small properties and larger apartment communities. Multifamily housing can be further segmented by the audience as student living or senior living.
Financing multifamily properties is an area where Beverly Hills Lending shine. With the fluctuating lending environment and new capital market developments every day, even the most sophisticated borrowers find it hard to know all of their options. By leveraging our experience in this challenging segment of real estate, we are able to provide top lenders for your multifamily property financing needs.
Apartment buildings are a specific type of multifamily housing, and these properties are typically large, containing 5+ units. Most people refer to apartment buildings as buildings with 5+ units in them.
Commercial lending is different from residential lending. Buildings with five or more apartments are often considered commercial rather than multifamily, changing the financing options considerably. The least expensive and most common way to finance a purchase of an apartment building is through multifamily loans.
Multifamily Construction Financing
Multifamily construction loans are used to finance the development or rehabilitation of multifamily properties. Construction loans typically have short terms, usually just one year.
Multifamily construction loans are often made for the duration of a building project, but the payments can vary depending on interest rates and other factors. Construction loans offer borrowers a lump sum of money to complete improvements to an unfinished project, as well as options such as refinancing when construction is finished.
We are committed to tailoring our services to fit the needs of each client. Our California multifamily lenders will walk you through each step, from application to funding. We offer solutions for all types of commercial lending scenarios, including large and small loan amounts.
Our multifamily financing solutions can also finance mixed-use projects such as retail and office space combined with apartments. This is a prevalent multifamily financing scenario that many lenders avoid.
Multifamily loans are the least expensive way for you to obtain financing for your current project or for the next one. Our goal is to provide our clients with innovative, creative solutions for their commercial lending needs; therefore, we have had success in funding projects that most lenders consider too risky.
Benefits of our multifamily loans
Here are a few benefits of how beneficial our financing loans can be for you compared to other options:
1 . Avoiding Bank Repossessions
Many people are aware that the banks have repossessed a large number of homes in recent years. Others may not know that the bank can take over even non-owner-occupied properties if payments are not made on time for two consecutive months or more.
2. Tax Savings
Property taxes will mount up as the value of the property increases, and there may be additional taxes for improvements you are making. If you own this building free and clear, then your tenants will pay these taxes. However, in most instances, you should deduct a portion of the property taxes from your monthly mortgage payments so that your expenses do not increase unnecessarily.
3. Maintenance Savings
Even if you have a management business in charge of your building, they may not be willing to do some of the minor repairs that homeowners are responsible for. For example, it is inconvenient to open up an entire wall in order to make simple plumbing repairs or replace a blown-out light bulb. Instead, owners typically pay someone else to take care of these things.
4. 100% Financing of Improvements or Purchase
If you are having cash flow problems, then getting a mortgage on an apartment building can be difficult because they are considered commercial properties. However, with a multifamily loan, the bank is more concerned about your ability to pay the loan back. The result is that you can get up to 100% financing on improvements or purchases and then refinance at a lower rate once your cash flow improves.
5. Financing Without Personal Guarantee
If your credit score is in good shape, it should be possible to get commercial mortgage financing without providing any personal guarantees. This means that your assets are not at risk, which is essential when you have many tenants living in your building.
If you’re looking to refinance a loan for a multifamily property, we can help you save money on your current interest rates and get the lowest possible rate for your new loan. Give us a call today!