Financing the Purchase of Motel with High LTV Conventional Loan in Virginia
Obtaining financing for non-citizen/greencard borrowers is fairly difficult. The SBA loans require 51% ownership to be by Legal Permanent Residents (LPR) or citizens. Many banks shy away from non-citizens and also require the majority guarantors to be LPRs or a citizens. CMBS Conduit non-recourse loan program is the most suitable program for a foreigner to finance a hotel acquisition but it requires much higher equity injection, newer and higher tier of hotels, and high debt yields limiting the number of hotels that can be funded through that program. Private fund is definitely an option but fairly expensive. Bank loans seem to be the best option and this is why this acquisition was structured under the conventional program at 80% Loan to Value with fixed rate and 25 year amortization.
Our Other Projects With This Client
What differentiates us from the others is loyalty of our clients. Here is the other hotels that we financed for this client not to mention a number of referrals that we got from this client.