Loans close faster when the paperwork is ready before it is asked for. Below is what we need for each type of loan. A business-purpose loan can close in your own name or in the name of an entity. Many investors use a Florida LLC for liability protection, and if you do, the entity documents apply.
Rental (DSCR) loans
Once
- Driver’s license, or passport for a foreign national
- LLC articles of organization, EIN letter and signed operating agreement
- Certificate of status from Sunbiz, if the LLC is more than a year old
- Voided check for automatic payments
- Two months of bank statements. We look for roughly six months of liquidity
Each deal
- Loan application
- Signed purchase contract, or the original settlement statement for a refinance
- The lease, for a rented property
- For a condo or a property in an association: dues, the budget, and any special assessments
- Insurance agent and title contacts, plus windstorm and flood insurance quotes
- Someone who can let the appraiser into the property
- The appraisal report
New construction loans
Once
- Driver’s license
- LLC articles of organization, EIN letter and signed operating agreement
- Certificate of status from Sunbiz, if the LLC is more than a year old
- A schedule of your projects from the last 2 years with settlement statements
- Voided check for automatic payments
- Personal financial statement
- Two months of bank statements showing reserves for interest, closing costs and part of the budget
Each deal
- Loan application
- A line-item construction budget with a specific scope of work
- Plans, drawings, a survey with the flood elevation, and permit status
- The general contractor’s details, license and insurance
- A list of the contractor’s recent new builds
- Insurance agent and title contacts, plus a flood insurance quote if the lot is in a flood zone
- Someone who can give the appraiser access to the site
Fix and flip loans
Once
- Driver’s license
- LLC articles of organization
- IRS EIN letter
- Operating agreement signed by every member, with ownership percentages
- Certificate of status from Sunbiz, if the LLC is more than a year old
- Voided check for automatic payments
- Experienced investors: a schedule of your projects from the last 3 years and the settlement statements for each purchase and sale. For a property you kept, the statement showing the refinance into permanent financing
Each deal
- Loan application
- A line-item rehab budget with a specific scope of work. Write “replace roof and install 14 impact windows and 2 impact doors”, not “roof and windows”. Draws are released against this budget
- Signed purchase contract, or the original settlement statement for a refinance
- Permit history for the property, if you have pulled it
- Insurance agent’s name, phone and email
- Title agent’s or closing attorney’s name, phone and email
Not sure about an item? Call (954) 598-4564.