You have been tentatively approved for an EZ Construction Loan construction
loan, owner builder construction loan, spec home loan, home completion loan,
real estate development loan or other 1-2-3 year real estate loan in first position
from $100,000.00 to $750,000.00 in northern California for up to 60% LTV (call
for today's low interest only private money rates). Loan costs include points,
$250 document fee, draw inspection fees, plus title insurance, and escrow
fees. Outside
Nevada County there will also be some additional travel time fees charged for
draw inspections as well as other costs.
This approval is subject to confirmation of the values you've represented,
issuance of ALTA lenders title insurance and availability of funds. Your loan
will have:
- NO PREPAYMENT PENALTY
- NO FICO SCORES NEEDED HERE!
- NO APPRAISAL FEE (in Western Nevada County)
- NO CREDIT REPORT FEE
- NO INCOME DOCUMENTATION
and can close escrow in as little as ten working days from when your title
report and demands are in. This tentative written loan commitment is good for
30 days from the date of viewing this letter. (All rates subject
to change until your escrow is opened). All EZ Construction Loan construction
loan approvals are made subject to the confirmation of values represented, issuance
of A.L.T.A. title coverage, and availability of funds. Subordination, second
loans and third loans behind our loans are permitted up to 100%
LTV.
VERY IMPORTANT!
NOTE: Interest
will be charged on construction draws held. Interest is charged on the full loan
amount on construction loans including any part of your funds held for draws
or future work to be completed. Because your loan is being funded by private
individual(s) (not a bank) private investors expect to draw interest on the entire
loan amount the day they deposit the full amount of your loan to escrow. After
giving you a close of escrow draw and or land advance, the title company places
the portion of your loan proceeds to be held for future draws in an escrow account. This arrangement is for your protection. Under this arrangement
even if the investor were to die, leave the country, or go bankrupt, all your
draw funds needed to finish your building will always be there in your escrow
account waiting for your completion each stage of work as required. Other private
money brokers may allow your investor to keep possession of your future draw
funds held for work to be completed to save you some interest. But "BEWARE" of
that arrangement, it is not in your best interest and never safe for you as the
borrower. Here's why: should you ever be ready for a draw and the investor happened
to be unavailable, out of the country, had spent the money, went broke, or even
died unexpectedly you might find that your funds to finish building are unavailable!
Our EZ Construction Loan hard money loan program requires that the lender
deposit the full loan amount prior to close, to be placed in your escrow account
for you by the title company to insure that your funds will be there ready and
waiting for you (along with all accrued interest accumulated at the pass book
rate) whenever you're ready for a draw. Many of our past 1,000
EZ Loan borrowers think
an EZ Construction Loan hard money loan from EZ Construction Loan is the "only
way to go"!
