NOREDTAPE's Bridge loans are short-term transitional financing for business purposes, such as borrowers managing their own improvements and/or deferred maintenance, stabilizing the property’s income, getting cash out for business and other transitional purposes.
DEFERRED MAINTENANCE allowed up to $50,000 (Lessor of $50K or 2% if LTV > 75% and <= 80%, 4% if LTV > 70% and < 75%, or 6% of LTV <= 70%).
NO LEASE REQUIRED LTV reduced by 5% with no lease (reduce by 5% to with lease and/or DSCR < 0.70%). Property cannot be occupied while repairs are being made.
If deferred maintenance, 1.5X escrow hold-back required for cost-to-cure. Cost-to-cure used from appraisal and escrow hold-back released with one inspection by appraiser to confirm deferred maintenance repaired. Appraisals with < C4 condition must use Fix & Flip program.