When applying for a mortgage loan you can face many setbacks. They count in lots. But if we had to create a ranking of the most tedious, at the top of the podium we would find the authorization. And when it comes to loans for developers and home builders the thing gets even more complex. But calm, that for everything there is solution. For some years in Mexico there is a medium-term financing model that has less stringent requirements: bridge loans. If you have already designed your blueprint and are lookingfor financing options, know how this type of credit works and know your requirements.
What Is A Bridge Loan?
This is a type of medium-term financing that the Financial Intermediaries – banks and Sofomes – grant to the developers of housing for the construction of housing complexes, commercial equipment and improvement of housing groups. These credit intermediaries must be registered with Sociedad Hipotecaria Federal, an institution that participates in the authorization.
Your credit will be granted in Mexican pesos and covers up to 65% of the value of the project. The regular term of this type of loans to build is up to 36 months and you can go paying the monthly payments, according to the sale of each one of the houses. You should know that the bridge credit will not be given to you in a single exhibition; The financial institution will give you a budget, depending on the stage or progress of the work.
What Requirements Do I Need To Apply For A Bridging Loan?
Legal Folder: This file must contain all legal documents that prove the identity of the company , such as: minutes, powers, identifications. It must also contain the legal documents that accredit the project as: Title of Property, Regime of Property in Condominium, authorizations of fractionation and construction, payment of the property, etc.
Technical Folder: This folder is used to set the specifications of your project . You must incorporate the architectural, stocking, structural, location, licensing, permit, feasibility plans for drinking water, electricity, budgets, work programs.
Financial Folder: This file is very important, since it depends on you to authorize the bridge credit. Ideally, it should contain the company’s and legal representative’s credit history, project investment risks and all premises based on market research.
Loans are mostly hard money bridge loan mortgage programs with interest rates in the double digits. Although at http://quickbridgefunding.biz/, they are having some programs with as low as 8% interest rate.