Commercial Real Estate Loans Houston

​Conduit First Mortgage Loans - A very large permanent loan on a standard type of commercial property, which is underwritten to secondary market guidelines with huge prepayment penalty. Such loans enjoy very low interest rates. Conduit loans are later assigned to pools and securitized to become commercial mortgage-backed securities. $200K to $500M. 

CMBS or Conventional Commercial Real Estate loan : up to $500M - Purchase or Refinance.​

Bridge & Structured Financing : up to $500M for challenging loans - occupancy, reserve etc issues. 
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Commercial Construction Development Loans with Debt + Equity - A loan with 1-3 years used to build a commercial property. The loan proceeds are releases in portion by the lender in order to make sure they are only used in the construction of the new building. Many of them are also interest only payment loans till the construction is completed and the loan changed to permanent.
 
Loans - A Conforming to bridge loan is a short-term, first  or second mortgage loan ( Mezzanine ) on commercial property. The term could be from 6 months to 3 years.  The interest rate on bridge loans is typically much higher than on permanent loans which can be from 4.89% to 12% : $150K to $10M
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Takeout Loans - A takeout loan is a permanent loan where the proceeds of the loan are used to pay off a construction loan. However, many construction loans these days are with " Construction to permanent loan", means converted to long term fixed rate ( permanent ) loans.
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SBA Loans - Loans to users of commercial real estate which are underwritten by private companies, but sponsored by government, SBA, such as banks and specialty finance companies. SBA loan guarantees were created by Congress to encourage the formation and growth of small businesses.
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• SBA 7(a) Loans: The SBA 7(a) program offers a 25-year, fully amortized first mortgage loan with a floating interest rate tied to the Prime Rate.

• SBA 504 Loans: This program begins with a conventional, fixed-rate first mortgage and adds a 20-year, fully amortized second mortgage, guaranteed by the SBA. It is the most popular option for obtaining a fixed-rate SBA loan.

• SBA Construction Loans: These loans are initially structured as conventional construction loans and automatically convert to 25-year SBA loans upon the project's completion.

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USDA B&I Loans - Similar to the SBA loan program, where a conventional lender makes the loan but the USDA guarantees most of it. USDA Business and Industry loans were created to help create jobs in rural areas. In some cases, this can go to 100% Loan.
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Fix and Flip Loans - A renovation loans that are similar to construction loans. Typically the loan is used to acquire property with enough additional proceeds to renovate the property for a quick sale. Most of these loans are provided by private funds when conventional banks can not lend due to credit or income issue of the borrower. Rates are usually higher here.
 
Bond & Private Placement Loans - Credit Tenant Lease, Foundations, Hospitals, Colleges, State & City connected Projects up to 100% LTV - $200M. 

CMBS & SMALL SIZE LOANS- $ 1,000,000 to $150,000,000
 
- CMBS loans are non-recourse (no personal guarantees).
- CMBS loans allow for unrestricted cash-out on refinances.
- CMBS conduit loans are assumable.

Most CMBS loans are fixed-rate and have a 5, 7 or 10-year loan term amortized on 20 or 30-year schedules and can have interest-only payments during the first few years of the loan term. CMBS loans close as fast as little as 30 days .


COMMERCIAL MORTGAGE BANK LOANS  - $200,000 to $50,000,000.

- Low interest rate loan with relatively low closing costs.
- Restricted cash out refinance.
- Loans are full recourse (personal guarantee required)


COMMERCIAL AND RESIDENTIAL BRIDGE LOANS - $200,000 to $50,000,000

- 6% to 12% interest rate for 12-36 months.
- Up to 70% LTV
- Closes in 7-15 days in most cases.