High Leverage Residential Development Loans
A unique product in the private lending space, BD Capital offers residential developers financing options for horizontal lot development through vertical construction. All residential property types are eligible across the country. BD Capital fields a dedicated team for just Residential Development Loans which helps facilitate smooth closings and yields repeat borrowers.
Residential Development - Program Details
- Entitled Land Acquisition, Horizontal and / or Vertical Construction of 5+ Residential Properties
- Includes Condo, Townhome, Single Family Community, Build To Rent, Multi Family
| Experience Level | Credit Score | Interest Rate | Points | Reimbursement Rate on Construction Costs | Loan % to Cost | Loan % to After Rehab Value | Loan % to Current Value | Pre-Payment Penalty | Cross Collateral / Blanket Loans | Loan Size | Loan Terms | Extension Available |
|---|---|---|---|---|---|---|---|---|---|---|---|---|
| High | 680 | Contact Us | 2.75% | 100% | Contact Us | Contact Us | N/A | No | Yes | $2.5M-$50M | 24 Months | Yes |
| Experience | Credit Score Minimum | Interest Rate | Points | Advance Rate On Purchase | Advance Rate On Rehab | ARV | Property Types | Pre-Pay Penalty | Extensions | Blanket Loans | Loan Size | Loan Terms |
|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Any | 660 | 10%-12% | 0 - 2% | Up to 80% | 100% | Up to 70% | Single Family, Multi Family, Mixed Use | No | Available | Yes | $75K - $2.5M | 12 Months |
Horizontal & Vertical
BD Capital provides funds for horizontal lot development, not just for vertical construction like competing products.
Dedicated Team
The term sheet and closing process is smooth and transparent with a team in place just for the Residential Development Loan product.
Equity Lift
Some builders buy land years before they are ready to execute on their development or improve the land before a construction loan. BD Capital recognizes increased property value as imputed equity and costs spent to date which reduces a borrower’s cash to close.
Attractive Loan Traits
Higher leverage and a pre-funded interest reserve are just a couple of attributes that make the Residential Development Loan product attractive.
