We loan money in to people who buy houses, fix them up, and sell or refinance them. We work very hard to fund quickly so that you can demand large discounts from your sellers (many people will sell cheaper if they can get their money in a few days instead of a few months). We normally lend only on single-family residential houses. Our program is very good for people who can buy right, fix a property up quickly, and then get it sold or refinanced. There are four easy steps to our loan: get a contract, submit the loan request documents, obtain clear title and insurance, and , if approved by ILS, close the loan.
The usual annual interest rate is 16.875%. This works out to be less than 1.41% per month. This competitive rate is offered so you don’t have to take on a partner to put up the money for the property and deal with sharing YOUR PROFIT. Payments are interest only.
We loan up to 70% of the after-repaired-value (ARV) of the house.
Our standard loan terms are six months.
Closing costs typically include a Loan Commitment Fee and Loan Processing Fee. See our Rates and Fees page for detailed information.
Absolutely. We require an itemized list of work to be performed on the property from which we verify repairs and create a draw schedule. We release rehab funds as the work is completed. We do not pay in advance.
We do look at applicants’ credit reports to get insight into the individual borrowing the money. However, we primarily evaluate an application on the merits of the property: the value of the property after it is repaired, how much you are paying for it, and how much the repairs will cost.
As this is an asset based loan, much of the emphasis for the decision to approve a borrower is based on the property. We are not as concerned with credit as a conventional lender, however we do have credit score minimums.
No. Only for the initial approval and then periodically to update your file.
We will fund up to 100% of your purchase and renovation needs as long as they don’t exceed 65% to 70% of the property's ARV.
We loan in select Metropolitan cities across the United States.
We loan in several states across the continental United States.
In most instances, No. The great thing about dealing with Investor Lending Services is that WE ARE INVESTORS. We do much more than appraise a property. Our comprehensive inspection evaluates not only the value of a property but also verifies required repairs. If an appraisal is required, we will order it.
Absolutely. As you make improvements to your property, you may request the release of your draw money by submitting a Repair Draw Request. Each repair draw request will require an inspection to ensure the work is completed and in a good and workmanlike manner. We do not provide any draw advances. Funds are released only when the repair has been completed.
No, in most instances 100% of the purchase AND ALL CLOSING COSTS are rolled into the loan if the property is purchased at the correct discount. This may vary in some cases. New investors with low credit scores may be required to bring one to four months of their monthly payment to closing that will be held in escrow.
We can fund after receiving a copy of the executed HUD from the title company. We can, in some cases, also Table Fund.
Not generally. However, if the title companies will not insure the loan without one, we will require it.
There is no set limit. As a direct lender, we can potentially provide unlimited funds to any one borrower and are not subject to any arbitrary pre-determined restrictions. We will increase your borrowing levels as you prove your ability to manage multiple projects.
It is simple interest, interest only. To figure your monthly payment simply multiply the rate by the amount of your loan (including the fees the lender rolled in) and divide by 12. For help see our payment calculator page
No. You may wish to be pre-qualified as a borrower with Investor Lending Services in order to obtain Pre-Qualification Letters that are property-specific. Pre-approval is only necessary if you wish to obtain Pre-Qualification Letters.
Please Note: Being pre-approved as a borrower does not guarantee that Investor Lending Services will extend funds to close on a specific property. All loans are subject to our underwriting criteria.
Investor Lending Services inspects the property for all needed repairs. All budgeted amounts are agreed to by the borrower prior to closing. The borrower will be responsible for any repairs costs additional to what was originally assigned for the specific repair.
Sometimes, although on different terms from residential rehab, and on a case-by-case basis. Please contact us for details.
Sometimes, although on different terms from those addressed here, and on a case-by-case basis. Please contact us for details.
No. We require interest only payments for the term of the loan.
While we prefer borrowers with rehabbing experience, we recognize that all real estate investors have to start somewhere. If you are a first time investor with strong credit and financial background, we will seriously consider your application.
Click here to apply. Fill out our Pre-Qualification Form. We will have a rapid response for you so you can get going as soon as possible on your project.
Sometimes. The rural properties we loan on are generally in suburbs of the Metropolitan cities we loan in.
We can loan on rental property, but you will need to have the property refinanced before your loan term expires. Other requirements may apply.
Sure. A flood insurance policy must be purchased at closing if it is determined that the property lies within a FEMA designated flood zone. See insurance requirements page for more information.
If payments are current and repairs are complete we will provide an extension for three months. An Inspection Fee, and Extension Fee will be charged to extend the loan.. We must collect these fees at time of extension.
Not at this time.
Not necessarily. Unlike conventional lenders who focus on income, Investor Lending Services considers the investor’s overall financial condition, including liquid assets when underwriting a new loan.
If our inspectors or appraisers identify and report that mold is present in the property, we require that the borrower conduct a mold inspection test using a certified specialist. The borrower is then required to present the test results/report to Investor Lending Services for further review. We will take the results into consideration as we make our decision on whether or not to fund the loan.