Tag Archives: construction loans

Buying Multi-Family Entitled Land to Build

If you are a participant in the commercial real estate market, you have probably noticed improvements in leasing activity in all products and the return of capital to the investment property market. While increased market participation has fueled positive feelings … Continue reading

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Top Reasons Why Contractors Can’t Get Loans

Commercial and residential building contractors and sub-contractors have historically been considered high risk borrowers. As such, contractors have found it difficult to get financing from commercial banks. The following will summarize the reasons for concern that commercial lenders have when … Continue reading

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Underwriting Commercial Real Estate Construction loans

I thought an article about commercial construction lending underwriting would be the best choice to start a category of “Spilled Milk” type of articles similarly to the way that the old RMA journal had articles about commercial loans gone bad. … Continue reading

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Banks staying away from CRE loans

I have seen the future and the future is C&I lending. Banks continue to stay away from Commercial Real Estate. Commercial lenders are usually classified into two camps: Business lenders that deal with Commercial & Industrial loans (C&I) and Commercial Real … Continue reading

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Commercial appraisals

Edit: I answered this question before being exposed to multi-unit construction lending. In this case, the gross sellout value is never used by the lender. A wholesale value “as sold to a single user” is the one that lenders use … Continue reading

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