Auto Care Center Hard Money Loans are Offered by Auto Care Center Hard Money Lenders
Hard Money Loans for an Auto Care Center
Hard money loans are available for auto care centers. Perhaps you currently own an auto care center and need funds for improvements. Maybe a center has come up for sale, but your current credit situation, or circumstances surrounding the property won’t allow financing through conventional conforming loan channels like banks and mortgage brokers. You may be a good candidate for a hard money loan.
Reasons for Applying for Hard Money Loan for an Auto Care Center
- Credit maxed out
- Property in remote location
- Property not of conventional construction
- Value based on land alone
- Value cannot accurately be determined
- Potential income from property cannot be verified
You can find hard money lenders nationwide: private investors, mortgage companies, or banks that deal in hard money financing to help finance the purchase of the auto care center. If you deal with a hard money loan broker, be prepared to pay “points”: an up front percentage that probably will start somewhere around 3%. The auto care center itself will be the collateral that secures the loan, and the lender may ask you to put up other assets to consummate the deal. Hard money lenders will typically finance only a percentage of the purchase price of the center--- usually 65% to 75% (Loan to Value Ratio). Since the center will produce income, a loan can be based on the value of the property plus its income producing potential. Interest rates might possibly run anywhere from 8% up; may initially be fixed, but later become variable.
If you have experience in running an auto care center, that is typically considered a plus. Be prepared to give the lender the following, in addition to color photos of the land and any buildings.
- Location of the property
- Date of purchase
- Date of closing
- Purchase price
- Estimate of fair market value
- Reason for applying for hard money loan
- Verifiable gross income or expected income
- Yearly expenses to be incurred on property
- Appraisal if available
Disclaimer: The hard money loan calculators found on this website are offered only to estimate monthly loan payments of hard money Auto Care Center loans. No guarantee is offered or implied as to their accuracy. Hard money Auto Care Center loans are non conforming, they do not conform to the underwriting guidelines of Fannie Mae or Freddie Mac. Each private equity hard money lender has their own fee structures which may include points at closing and early prepayment penalties. Discuss all of the details of your particular hard money Auto Care Center loan including all costs and fees with your selected hard money lender.