Gelt Financial provided a purchase mortgage first mortgage on Mixed Use Property in Brooklyn New York. No income qualification When your bank says No, we say Yes.
“Marcy: Hi, all right. Now, I’m going to tell another story. Okay, so the deal that we did was mixed-use, and it was fully occupied. That wasn’t the issue for this particular borrower. The problem was that the bank had called the loan due because the mother had, I think, passed away and left the property to the daughter. So the daughter had to get the property in her name.
Jack: I keep saying it, but we see tons of deals where banks or private lenders are not renewing or not extending loans. It feels like it’s such a large number of our loans.
Marcy: What’s happening from feedback that I get from a lot of the brokers and just like, you know, watching what’s going on different, you know, sites is that they want to get a commercial market. A lot of them, they’re just not.
Jack: It could be, but this was a mixed-use collateral-based loan. No appraisal came from a mortgage broker. Loan amount was, I think, $450,000.
Marcy: And also, like the reason, like they couldn’t go to a bank was because it really was, like, close with debt servicing. You know, our payment, you know, versus what she’s, you know, what she collects in rent because the rent world was a little under market. So they’re going to, you know, raise the rents. And now that the daughter owns the property, she’s going to put a little more care and attention to the property. And, you know, at a certain point, they’ll be able to refinance out of our loan.
Jack: We did another fantastic deal in Brooklyn. It was a similar situation with the daughter. I don’t want to say the name; I forget the name. She actually was one of the few people came to the office that the property she heard or something. And the property needed a ton of work, and we lent her money to solve the licensing issues, the violations with Brooklyn, with New York. She was so grateful to us.
Marcy: Yeah, I remember that deal. After she did all the work and cleaned up the violations, the property almost doubled.
Jack: Yes, that’s exactly right. She cleaned it up; we lent her money. No one would do it. We closed again, no appraisal. I don’t remember if it came from a broker, but I remember her being a very sweet charming lady. But that’s what we do: bread and butter deals, single-family homes, mixed-use, commercial, retail, what else? All kinds of stuff. Yeah, owner-occupied business, whatever, you know, whatever makes sense.
Jack: Yup, yeah, that’s what we do. Like our channel. Wherever you see this, like it, leave questions, we answer the questions, subscribe to it, you’ll get more, hit the bell or the buzzer. Check us out at geltfinancial.com. Remember, we love working with borrowers, investors, and self-employed businesses. If you can go to a bank, go to a bank. Their rates are better than ours, no question about it. But if you can’t go to a bank, if you don’t have time (banks are taking months and months and months now), if you don’t have the time to go to a bank or if you don’t have your documentation in order, give us a call. We’re going to close the deal quickly. The credit committee is right here. You know you’re always going to speak to a decision-maker. We make a decision usually on the phone. Sometimes it’s for the bad, sometimes it’s for the good. Can’t always approve every deal; some people get annoyed. You didn’t approve my deal. Guess what—
Marcy: And also, sometimes like, you know, we want to be as fair as possible, so I’ll say I need more information to make a decision.
Jack: Guess what? If we approved every deal, we’d be out of business. But if we like the deal, we’re going to approve the deal. We issue a term sheet within an hour; we’ll email you the term sheet. You sign it, boom, you’ll get to close very, very quickly. And we’re very flexible. If you don’t have a certain documentation or this or that—
Marcy: We can talk about it.
Jack: That’s exactly right. You’re not dealing with some bureaucrat as well. We’re not selling our loans; we’re servicing our loans. So after we close the loan, you stay with us. You’re going to make your payments to us, and you’re going to pay us off. And if there’s a problem, if you need more money, or you need an extension, or whatever, we work with you. And the vast majority of our people need even more money or an extension. I think we’re good. Okay, take care. Have a fantastic day. Take care.”
Category: Deals Done
Tag: mixed-use
