Lima One Capital Broker Program OnBoarding Presentation Welcome Package
Welcome Brokers 2 Thank you for taking the time to attend our Broker Onboarding Presentation Please type your first and last name and email address in the chat box for attendance; you will be muted during this webinar For all questions or concerns please type into the chat box
Agenda 3 Background on Lima One Capital FixNFlip Loan Program Rental30 Loan Program Fix2Rent Loan Program Broker Submission Process
Benefits of Lima One Capital s Broker Program 4 HUD protection Streamlined and efficient process for brokers Open communication channels via the Operations Analyst assigned to your client Quick Closings
What We Offer 5 By partnering with Lima One Capital you re offering your clients: Fully capitalized funding source Competitive terms Excellent customer service
Three Lima One Capital Loan Programs 6
Program Highlights ` 7 FixNFlip Down Payment Features 10% - Domestic Borrowers 35% - Foreign Nationals Credit Score Minimum 630* Amortization Term Interest Only Balloon Note Prepayment Penalty No Seasoning Requirement for Assets, Properties, or Business Entities Minimum/Max Loan Amount Portfolio loans Closing Time Frame Appraisal Cost No No Minimum, No Maximum No Estimated 7-10 business days Estimated $375-$575/property
FixNFlip Rates 8
FixNFlip Rates 9
Program Options 10
Loan Requirements All loans must close in an entity (Limited Liability Company, S-corporation, Corporation, etc.) All borrowers in the entity have to sign a personal guarantee and must provide a copy of the ID as well as contact information. Recourse loan unless it is a foreign national.
Underwriting Requirements 12
Broker Submission Form 13
Detailed Construction Budget 14 Include the Construction Budget in the submission email.
Program Highlights 15 Rental30 Maximum LTV Features 75% - Domestic Borrowers 70%- Foreign Nationals Credit Score Minimum 630* Amortization Term Prepayment Penalty Seasoning Requirement for Assets and Properties Minimum/Max Loan Amount 30 year, fixed rate, fully amortized Yes Assets 2 month seasoning Properties 12 month seasoning $45,000 Minimum No Maximum Interest Rate 6.50%-8.85% Closing Time Frame Appraisal Cost Minimum Property Size 30 Business Days $450-$600/property 700 sq ft
Broker Points Unrestricted Broker points Broker fee is based off the Gross Total Loan Amount minus our Origination Fee All Broker points will be assessed in addition to Lima One Capital s 2% origination fee ($3,500 minimum)
Portfolio Loan Requirements 17 Each property included in the portfolio must appraise at a minimum of $45,000 All properties in the portfolio must be in the same state
Loan Requirements All loans must close in an entity (Limited Liability Company, S- corporation, Corporation, IRA, etc.) All loans must be personally guaranteed by each borrower unless the borrower is a Solo 401K or an Individual Retirement Account (IRA) IRA loans will receive an upward rate adjustment of 0.50%
Property Seasoning Requirement 19 Refinance/Cash Out owned less than 12 months: Up to 75% LTV of the lesser of the purchase price or appraised value Will lend on the full appraised value if material changes to the property have been made in order to significantly increase the value
Eligible Property Types 1-4 Unit non-owner occupied (investment) properties Properties with 2 acres Fannie Mae Warrantable Condos
Secondary Financing Secondary financing is not permitted. This includes but is not limited to: Lines of credit Gift funds Loan from family/friend
Debt Service Coverage Ratio (DSCR) DSCR= Monthly Rental Income Monthly Payment/PITIA The Monthly Rental Income is the gross rental income realized from the property. The Monthly Payment (PITIA) includes principal (P), interest (I), taxes (T), insurance (I), and homeowner s association dues (A), as applicable. Minimum Qualifying DSCR is 1.3
Underwriting Requirements 23
Landlord Experience Properties Financed Requirements 1-2 No experience required 3-4 1 year experience or licensed property manager 5-7 3 years experience or licensed property manager 8+ Licensed property manager is required
Prepayment Penalty 5% stepping down 1% every year Applies only to the portion of any payment that exceeds 20% of the scheduled principal balance
Broker Submission Form `
Estimate of Cost
Program Highlights 28 Perfect loan for your borrowers who want to rehab a property to add to their portfolio Borrower receives 0.50% discount on the Rental30 origination fee Borrower will be underwritten in both FixNFlip and Rental30
Lima One Capital s Submission Process
Step One: Broker Submits Deal Send your Broker Submission Form to broker@limaonecapital.com with the subject line as follows: For example: Rental30 White, Betty FixNFlip Martin, Steve (123 Main St) Fix2Rent Williams, Robin (456 Court Lane) All required cells must be filled out correctly and in full. You will receive a response within 24 business hours.
Step Two: Submit Borrower and Property Underwriting Documents If the submission is approved: In one email label with the loan program and the client s name, submit all the required documents that were requested. Have your borrower apply online with your unique application link (to be provided). Generally a same-day response.
Step Three: Underwriting begins Your file will be assigned to an Operations Analyst who will underwrite your client The Operations Analyst will work the file all the way to closing All additional documentation needed for your clients file should be directed to assigned Operations Analyst
Step Four: Closing We require an approved HUD, title commitment, broker invoice and broker wiring instructions 48 hours prior to closing Broker fee will be disbursed by the closing agent at time of funding
Submission Tips 34 Send each Broker Submission in a separate email Processors need to state the Broker s name they are submitting on behalf of for each deal Send documents in individual attachments We cannot accept documents sent through DropBox Do not have your client apply until after the deal submission has been approved and you have sent over all the requested documents
Questions? Questions or comments? Email: Broker@LimaOneCapital.com Phone: (864) 546-4323 We look forward to working with you!