Small Balance
Commercial Loan Program

A "Small Balance Commercial Loan" is a loan on commercial real estate less than $10MM in size. These loans are backed by multifamily, mixed-use, office, retail, warehouse, light industrial, self-storage, mobile home communities and other similar property types. A small balance commercial loan is a great fit in the following situations:

  1. When you cant wait on a bank to close (Close in less than 4 weeks).
  2. When the property is owner occupied.
  3. When the property needs minor renovation or capital improvements.
  4. When you don't have great credit (below 660)
  5. When you can't provide verifiable income (non recourse & recourse options).
  6. When you are a Foreign National Borrower

At Capital Funding Financial, our small balance commercial loans close very quickly... even in as little as 21 - 28 days! Our small balance commercial loans require very little documentation!

What is a small balance commercial loan typically used for? A small balance commercial loan is a loan on multifamily, mixed-use, office, retail, warehouse, light industrial, self-storage, mobile home communities and other similar property types which is underwritten based on the income of the property in place. Small balance commercial loans can be used to finance a range of business needs, including equipment purchases, inventory financing, working capital, and real estate purchases. This can help businesses grow and expand their operations. Small balance commercial loans offer more flexible repayment terms, which can help businesses manage their cash flow more effectively.

 

Program Overview

Loan Amount: $250,000 - $10 Million
Term Length: 1 YR, 2 YR, 5 YR, and 10 YR Terms
Max LTV: Up to 80%
Amortization: Interest only or Full Amortization 
Interest Rate: Starting at 6.35%
Closing Time: 14 - 28 Days
Loan Use: Purchase, refinance, cash-out, 
Get Started Now

Speak to a Loan Advisor: 954-320-0242

Pro's Small Balance Commercial Loans:

  • Flexibility
  • Quick closing in 14 - 28 Days
  • Interest-only or Full Amoritization
  • Wide range of property types
  • No Minimum Credit Requirement
    •  

    What Do I Need To Qualify?

    • Simple... Equity in the property!
    • Origination Fee: 1.50% - 2.75% of the loan amount
    • Underwriting Fee: $1,995+
    • Legal Fee: $1,995+
    • Prepayment Penalties: Minimum of 1 - 3 Years

    Eligible Properties for Small Balance Commercial Loans

    Multi-family

    Multi-family is a classification of housing where multiple units (5+) for residential use are contained within one or more buildings within one community or complex. At Capital Funding Financial, we will lend to real estate investors looking to purchase or refinance multi-family properties with loan amounts of $250,000+.

    Mixed Use

    Mixed-use is a type of development that blends residential and commercial uses into one integrated complex or building. At Capital Funding Financial, we will lend to real estate investors in the following scenarios: purchase, refinance, bridge to stabilization, bridge to sale, or bridge to construction take out on mixed use projects with loan amounts from $250,000+.

    Retail

    Retail is any property used for commercial retail space such as a storefront for selling goods or services. Capital Funding Financial will lend to real estate investors and business owners who are looking for a loan for: purchase, refinance, bridge to stabilization, bridge to sale, or bridge to construction take out from $250,000+.

    Office

    Office is a property classification which generates income from tenants comprised of businesses and professionals. Capital Funding Financial will lend to real estate investors and business owners who are looking for a loan for: purchase, refinance, bridge to stabilization, bridge to sale, or bridge to construction take out from $250,000+.

    Hospitality

    Capital Funding Financial will lend to experienced operators with a flag in the hotel and lodging sector. Loan amounts are $500,000+.

    Other eligible properties include: Self storage, senior housing, marinas, parking facilities, automotive
    Common uses include: Acquisition, refinance, cash-out, renovation / construction

    Required Documents for Closing

    Property
    Documents

    • Purchase Contract
    • Payoff Statement (if Refinance)
    • Rent Roll, Financials, & Leases 
    • Renovation Budget  (if Rehab)

    Personal
    Documents

    • Loan Application 
    • Track Record / Personal Financial Statement
    • Last Month's Bank Statement
    • Drivers License and/or Passport

    Business
    Documents

    • Articles of Incorporation
    • Operating Agreement (LLC) or Bylaws (Corp.)
    • EIN Letter

    Is a Small Balance Commercial Loan Right For Me?

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    Need to close fast? You can count on us!

    Benefits of our Small Balance Commercial Loans:

    • No Income Documentation Required
    • 650+ Minimum Credit Requirement
    • Quick Closing 10-17 Days 
    • Rates Starting at 6.35%
    • DSCR of 1.00 at Closing & 1.20 at Stabilization
    • 1.00% - 2.00% Lender Fee
    GET STARTED FOR NOW

    Speak to a Loan Advisor 954-320-0242

    Loan Fees and Costs

    Origination Fee: 1.50% - 2.75% of the loan amount

    Underwriting Fee: $1,995+

    Legal Fee: $1,995+

    Prepayment Penalties

    Minimum of 1-3 Years based on the Term Length

    Approval Process

    Close in as little as 10 Days! From start to finish in 5 easy steps!
    Step
    0
    Submit Loan Request
    Step
    0
    Upload Documents & Accept LOI
    Step
    0
    Appraisal & Title Ordered
    Step
    0
    Final Legal Review
    Step
    0
    Closing
    GET STARTED NOW