Answers for Borrower's
|Answers to many common questions for borrower's can be found here.
If you need more assistance contact our Customer Service here.
- I have a login, but don't see the loan application link?
- Will there be any financial, credit or income requirements to get a loan?
- Is my credit score important?
- Does a potential borrower need to have real estate and/or construction experience for a rehab loan?
- How many loans can a borrower have at the same time?
As part of your pre-qualifying submission process, you were able to create a login account with Equity Based Lending, LLC. Only potential borrowers that have been successfully "Pre-Qualified" are granted access to the loan application and related private client resources.
If you need more assistance please contact our Customer Service
No. We are true asset based lenders who are only concerned with the value of the underlying collateral in the asset pledged to secure the loan.
No! Equity Based Lending LLC is a true asset-based lender. We do not look at the borrower’s credit. We are only concerned with the value of the underlying asset pledged as collateral to secure the loan.
It is preferred, however it is not mandatory.
Equity Based Lending, LLC does not limit the number of loans a borrower may have at any time with us.
The Loan and Terms
- What is the typical term of a loan?
- What is the interest rate?
- What will the loan payments be?
- What if there are repairs to be made?
- How long does it take to close a loan?
- Can Equity Based Lending, LLC’s loan be in second position on real property?
- What size loans does Equity Based Lending, LLC write?
Our typical loans are 6-18 months with a minimum 3 months interest due. However, we do offer transaction funding where the funds are only needed for a week or less.
Currently we are quoting annual interest rates in the 12-18% range. Each loan application is evaluated individually. Market conditions and other underlying factors may also affect the annual interest rate.
Our loans typically require monthly interest-only payments with a full balloon payment due at maturity. To calculate your monthly payment multiply the total loan amount by your quoted interest rate then divide by 12.
The borrower receives and signs a Repair Escrow Draw Schedule at closing. All of the funds for the construction loan will be placed in the designated escrow agent's account at closing. As each draw schedule item is completed we are notified by the borrower. We physically inspect the property to confirm the completed items; we then notify the escrow agent to release the funds from escrow as per the schedule. We charge a small inspection fee to the borrower when we visit the site.
We will need to receive the appraisal or evaluation and confirm clear title and/or ownership of the pledged collateral used to secure the loan. Upon confirmation, a typical loan will close in 7-10 business days. We have, however, closed loans in as little as 3 business days.
Possibly. Contact us for details.
Our minimum loan amount is $20,000 with no maximum.
- Can I add or change collateral after submitting my initial application?
- Will I have to put my "Other Assets" into your possession?
- What types of “Other Assets” are allowed to be pledged as loan collateral?
- What if my asset requires special attention for storage and security?
- What is the loan-to-value ratio, “LTV”, of the underlying asset?
Yes, however, please contact our offices to discuss the best options for your situation. Significant changes in the collateral, or combination of collateral assets may require additional application fees.
Probably. We need to have either title to or possession of the actual asset and sometimes both to secure the loan. However, each potential loan is evaluated on a case by case basis.
We will consider just about anything legal that we can evaluate and have an exit strategy to liquidate within 60 days if the loan were to go into default. Some typical Other Assets are: Luxury automobiles, boats, planes, antiques, artwork, custom jewelry, collectables, intellectual property, heavy equipment etc.
Should you and/or your professional advisor(s) desire for Equity Based Lending, LLC to evaluate the above listed or other asset classes not listed please Contact Us or call us at 704.996.2997.
If the underlying “Other Asset” securing the loan will need to be stored in a special facility to meet storage or security specifications explicitly required by you, we will make those arrangements and pass that fee on to you.
A maximum of 65% of the after repaired value on Residential or Commercial buildings. Other asset LTV amounts vary based on the type of collateral securing the loan.
- How does the loan process work?
- What does Equity Based Lending charge for the loan?
- What if I don't have all of the information requested in the online application form?
- How do I start the loan application?
- Can I save my partially completed application?
- Is there an upfront cost to apply for a loan?
- I am having trouble with the online forms?
- Will I need to maintain insurance for the asset pledged as collateral for the loan?
- Is the application fee refundable if the loan does not close?
- Will I need an appraisal for the underlying assets?
- Where do I find the Application Fee Schedule?s
Our consulting fee is typically the greater of $2000 or 5 points. However market conditions and other circumstances may affect the amount of the consulting fee charged.
We only ask for information and details relevant to the loan and asset to be pledged for collateral.
Please provide all possible information to the best of your ability. If for you don't have access to key details, you can enter "NA" or not available in place. Be advised that the omission of relevant details could affect the processing of your loan application and approval status. If you are unsure about anything, please contact our office.
Our online loan application is easy to complete. CLICK HERE to visit our introduction to the application where we describe the 3 easy steps to apply for a loan and what information will be needed.
No. Our system does not provide for partially completed applications to be saved and completed later.
However, The online application has 3 basic steps. As you complete each step, that portion of your application is forwarded immediately to our offices, as well as a copy to you via email.
If you are interrupted in the middle of any of the 3 steps, you would only need to begin that step again. For example, if you have completed step 1, and are entering your step 2 collateral details when a computer problem occurs, you would only need to log back into the site and begin the step 2 form again, your step one details will have already been forwarded.
Yes. We charge an application fee. Please refer to our Application Fee Schedule to calculate your anticipated application fee.
Our apologies for the difficulties you have experienced. This happens from time to time and is always frustrating!
Most common issues can be resolved by trying one or more of the following steps
recommended solutions in the order listed below:
- Check that you are entering the data accurately. Usernames and passwords are case sensitive, emails and phone numbers require the appropriate format.
- Clearing your browser cache and temporary files.
- Update your browser version and add-ons.
- Try a different Browser, Mozilla FireFox is my preference.
- Confirm that you are running the most current updates of Java and other scripts.
- Reboot your computer.
- Reset your modem.
Someone will respond as quickly as possible to your concerns.
Yes. All assets must be insured for a minimum replacement value of the appraised amount. You will also be asked to show and insurance binder listing Equity Based Lending LLC as an "Additional Insured" for the loan to close.
Maybe. Please refer to the Application Refund Policy for details.
We attempt to evaluate all residential real estate in house. If we do not feel comfortable with the evaluation we may request that you pay for an independent appraisal. We will choose the appraiser. You will pay the appraiser directly prior to the appraisal.
All commercial real estate, land and “Other Assets” will require evaluation from an independent appraiser. We will put you in contact with the appraiser and you will pay them directly prior to the appraisal.