Buy and hold loans fill an important gap between short-term and long-term loans.
Hard money loans are typically provided on a short-term basis. But for some commercial, residential, or industrial properties, borrowers may plan to buy and hold, and will need a longer term loan.
Whether you’re a real estate investor building a property portfolio for income or a landlord retrofitting an industrial property, we are prepared to meet your capital needs. JPM Financials is committed to working with you to customize a buy and hold hard money loan on your terms.
Our full amortization buy and hold loan program and partial amortization buy and hold loan programs are ways for our borrowers to extend the life of their loan while reducing the principal amount. Rather than simply paying the interest rate each month, a portion of your payments will be used to pay down the amount that is initially borrowed. Extending a bridge loan, expanding a residential property, or making a buy and hold strategy play? JPM Financials will provide you with unmatched ‘buy and hold’ options.
We can often provide you with same-day prequalification on a buy and hold hard money loan.
The Buy and Hold Strategy
The ‘buy and hold’ strategy involves picking up an undervalued or foreclosed property with the intent of selling it once the value has appreciated. In the meantime, it may make sense to renovate the property and open it to renters. Because you need cash to purchase foreclosures, buy and hold hard money loans are a great way to secure the financing you need.
Buy and Hold Loans (Purchases) on Residential Real Estate for income, to hold as a rental, has been a great loan program for many of JPM Financials’s top clients. With traditional lenders limited to lending on owner-occupied or primary residences, JPM Financials is the top Private Money Lender in the market on non-owner-occupied properties. We lend to real estate professionals interested in buying and holding properties for long-term cash flow. If you’re buying distressed properties and fixing them up, we can design our loans to maximize your options. We see the value in the ‘buy and hold’ strategy and will design the loan that fits your needs. And with no limits on the number of properties, you can leverage one building or your entire commercial portfolio.
Our underwriting guidelines focus on equity, not borrower credit. We have even accepted borrowers with low credit scores, prior bankruptcies, and foreclosures, so if a bank turns you down, call us! JPM Financials will work with you to develop a strategy for a long term loan. In fact, you may be able to pay down your amortized loan from the cash flow from renters, which makes selling the property in the future even more profitable!
Our streamlined process offers competitive advantages and has allowed us to go from the application, through the appraisal, approval, and closing of multi-million dollar loans in as little as four days.
Please review a sampling of Buy and Hold Deals Funded to see our past performance.
Our Buy and Hold Hard Money Loan Parameters
- Property Types: Industrial, Office, Retail, Apartment Complexes (6+ units), Shopping Centers, Restaurants, Mixed-use, Automotive, Hotel, Special Purpose, Land, Gas Stations, Specialty Properties
- Loan Amounts: $75,000 – $10,000,000
- Term: 6 months to 10 years–interest-only, partially-amortized, and fully-amortized loans available
- Loans are available to individuals, trusts, corporations, self directed IRAs, and limited partnerships.
- Up to 75% Loan-to-Value