No personal guarantee, No signature required for Non-Recourse Loans.
Non Recourse Loans or non-recourse debt is a secured loan (debt) that is secured by a pledge of collateral, typically real property, but for which the borrower is not personally liable. If the borrower defaults, the lender/issuer can seize the collateral, but the lender’s recovery is limited to the collateral. If the property is insufficient to cover the outstanding loan balance (for example, if real estate prices have dropped), the lender is simply out the difference. Thus, non-recourse debt is typically limited to 60% or 70% loan-to-value ratios, so that the property itself provides collateral for the loan. No proof of income, no credit report, simple, quick underwriting
Loan Amount: $150,000 & Up
Loan to Value: 60% – 75% LTV
Interest Rates: 8.50% – 12.50%
Origination Fee: 2 – 4 points
Pre-Payment: Some programs no Pre-Payment required based on rate & terms