Hard Money Loan Lending Parameters
FK CAPITAL FUND is a direct bridge lender and wholesale hard money lender based in San Clemente, California. We successfully serve California’s bridge lending market by providing short-term hard money loans secured by commercial and residential real estate. Our financing is fast, flexible and structured around each individual client. We come from a background of real estate development, investing, and real estate law. Our knowledge of the real estate market enables us to create a niche that is win-win for everyone.
Traditional Hard Money Program
This traditional hard money loan program is for both residential and commercial properties.
| Interest Rates: | As Low as 6.99% |
| LTV: | Up to 70% |
| Lien Position: | 1st Trust Deeds Only |
| Loan Fee: | 0 – 3 Pts |
| Commitment Fees: | None |
| Loan Amount: | $50,000 and Up |
| Loan Term: | Up to 36 Months* |
| Documentation: | Stated Income* |
| Underwriting Times: | 48 Hours |
| Closing Times: | As little as 7 days |
| Geography: | California Only* |
General Guidelines
Brokers Accepted.
Will make exceptions up to 120 months.
Will consider outside of California for commercial loans > $2M.
Par pricing options available on most loan offers.
Strong verifiable income is a compensating factor.
Submission Requirements
Online Submission Form
1003 Application or 1003 Worksheet
Credit Report or Verbal of Credit Score
Profit and Loss (if applicable)
Current Rent Roll (if applicable)
Color Photos or Appraisal
2nd Trust Deed Program
Residential properties preferred and some commercial considered for this second trust deed program.
| Interest Rates: | Starting at 8%* |
| LTV: | Up to 75%* |
| Lien Position: | 2nd |
| Loan Fee: | 2 – 3 Pts |
| Commitment Fees: | None |
| Loan Amount: | $50,000 and Up |
| Loan Term: | 6 – 24 Months* |
| Documentation: | Stated Income |
| Underwriting Times: | 48 Hours |
| Closing Times: | As little as 7 days |
| Geography: | California Only |
General Guidelines
70-75% CLTV typically require FK to be 1st trust deed lender or other strong compensating factor.
Prefer Southern CA.
Brokers Accepted.
Will make exceptions up to a 120 month term.
Strong verifiable income is a compensating factor.
Submission Requirements
Online Submission Form
1003 Application or 1003 Worksheet
Credit Report or Verbal of Credit Score
Profit and Loss (if applicable)
Current Rent Roll (if applicable)
Color Photos or Appraisal
High LTV Investor Rehab Loan Program
FK Capital Fund offers a unique high LTV / ARV loan program specifically tailored to rehab investors. The below term sheet represents a closed transaction and in this case calculates out to over 120% loan-to-cost which enables investors to purchase many more properties than your average hard money or conventional loan. This translates to 65% of the After Repaired Value. All loans require cash equity into the transaction from the loan sponsor. Here is a real-world example of the program:
| Purchase Price | $85,000 |
| After Repair Value: | $160,000 |
| Loan Amount: | $105,000 (65% of ARV) |
| Interest Rate: | Starting at 11% |
| Interest Reserve: | 3 – 12 Months |
| Points: | Starting at 4 Points |
| Site Inspection Fee: | $250 – $1500 |
| Loan Term: | 6 – 24 Months |
| Geography: | California Only |
| Fund Control: | $20,000 |
| Closing Times: | 14 Days from Site Inspection |
| Funds to Close: | $17,000 |
General Guidelines
Prefer Southern CA.
65% of ARV or a Minimum of 15% of Total Cost from Sponsor.
Submission Requirements
Online Submission Form
1003 Application or 1003 Worksheet
Credit Report or Verbal of Credit Score
Rehab Budget
Color Photos or MLS Listing
Private Construction/Land Loans
The strength/experience of the principal/sponsor is a key component for this private money construction loan program. Typically we will do up to 75% of the cost of the project. We will focus on shovel/ready construction projects.
| Interest Rates: | As Low as 9.00% |
| LTV: | Up to 75% of Cost |
| Lien Position: | 1st Trust Deeds Only |
| Loan Fee: | Starting at 2 pts |
| Commitment Fees: | CBC |
| Loan Amount: | $500,000 and Up |
| Loan Term: | 6-24 Months |
| Documentation: | Stated Income |
| Underwriting Times: | 48 Hours |
| Closing Times: | 30 Days+/- |
| Geography: | CA Only |
General Guidelines
Brokers Accepted for All Loans < $2M.
For Loans > $2M, FK must deal directly with client. Fees collected for referring broker by agreement.
Will consider outside of California for loans > $5M.
Strong verifiable income is a compensating factor.
Submission Requirements
Executive Summary
1003 Application or Financial Statement
Credit Report or Verbal of FICO Score
Resume of Borrower
Status of the Escrow (if applicable)
Description of Current Improvements
Description of Future Improvements
3D Renderings (if available)
PDF Copy of Plans (if available)
Owner Occupied Private Money
Proof of ability to pay strictly enforced for our owner occupied hard money loan. We do not accept owner occupied loans from brokers.
| Interest Rates: | As Low as 6.0% |
| LTV: | Up to 75% |
| Lien Position: | 1st Trust Deeds Only |
| Loan Fee: | As low as 1 pt |
| Commitment Fees: | None |
| Loan Amount: | $100,000 and Up |
| Loan Term: | 30 Year Amort. |
| Documentation: | Full Documentation |
| Underwriting Times: | 48 Hours |
| Closing Times: | 14 – 30 Days |
| Geography: | California Only |
Property Types
SFR
Condos
Townhouses
2-Unit
3-Unit
4-Unit
Submission Requirements
1003 Application or 1003 Worksheet
Credit Report or Verbal of Credit Score
Income Documentation
Asset Documentation
Existing Mortgage Information (if applicable)
Purchase Agreement (if applicable)