Address: 2804 Greenville Ave Dallas, TX 75206-6714
States They Lend In: Texas
Texas Hard Money Loan Programs
1-4 Family Investor Rehab Loans
Premier Borrower Plan:
Min. 660 Credit Score, 2 mo. bank statements & paystubs (if employed) & last 2 yrs. tax returns
Interest Rate: 12.5% ARV: Up to 70%
Prepayment Penalty: None Origination Fees: 3%
Typical Borrower Plan:
No Min. credit Score, 2 mo. bank statements & paystubs (if employed)
Residential Interest Rate: 13% – 14% ARV: Up to 70%
Prepayment Penalty: None Origination Fees: 3%-4%
Multi-Family or Commercial Property Loan
Commercial Interest Rate : 14%-16% ARV: Up to 70%
Prepayment Penalty: None Origination Fees: 5%
New Construction, Raw Land or Development Loans
Call for Terms
DHLC will pull credit.
Standard Loan Term: Loan Amounts**:
6 Mo. Term. $50,000 Min $350,0000 Max Loan Amount
“Good Standing”. 1.5 Orig Points. Rate goes to 18%
All borrowers MUST enroll in auto-drafting for payments.
Loan is based upon the risk of the deal. Borrower’s Credit, Liquid assets and experience are all considered.
Payment History & Credit Scores are considered for all Hard Money Loans regardless of amount. DHLC will pull credit for all new borrowers.
Appraisal and Inspection
DHLC will order Appraisal and Inspection Vendors paid at time of service by borrower
Minimum ARV: Minimum Loan Amount:
Initial Inspection Fee: Draw Inspection Fee:
Loan To Value
Up to 70% at lenders discretion subject to: Risk, Property condition, Inspection and Appraisal
6 mo. Hazard/Builders Risk Insurance required. All insurance MUST have a Theft Rider
All loans will have Seller Property Tax Credits held in Escrow by Lender. A Pro-rated amount will be added to monthly payment.
Doc Prep Fee
$450.00 Payable at Loan Commitment
$400.00 – Includes both an “As Is” and “As Repaired Value “
$475.00 – Required on most loans
An overview of the loan process
Thank you for submitting your loan application with us. At DHLC Investments, Inc. we’re committed to providing you with the highest level of service and satisfaction. As part of our ongoing efforts, you’ll be receiving daily status reports from us showing the progress and current status of your loan.
You can also return to our web site at any time to view status. Just select the ‘Customer Login’ link from our menu and enter the userID and password you created when starting your application.
Please review the following items that we need immediately in order to complete the transaction in a timely manner. We want to meet your closing date!
1. Contract fully executed
2. Scope of Work; Please fill out and submit via email the Scope of Work Spreadsheet found here, AND have your General Contractor or Sub Contractors submit their bids to you so you can send them all to us.
NOTE: Once the Loan has closed you CANNOT deviate from the “Approved” Scope of Work! If you do you will be solely responsible for any increase in costs over and above the original approved items and their associated costs.
3. Survey; If you have been provided with an existing survey we need to know right away. We order a survey from title immediately and it will need to be cancelled.
4. Insurance Binder:
Mortgagee Clause is: DHLC Mortgage LLC, ISAOA 2804 Greenville Ave, Dallas, TX 75206.
Vacant Dwelling or Builder’s Risk Coverage with Theft Riders must cover loan amount (at a minimum).
We require a Declarations Page and an Invoice. Your agent should fax this to us immediately.
6 month policy must be paid in full. It is not required to be paid until closing.
DHLC HARD MONEY LOAN PROCESS
Inspection & Appraisal must be paid for in advance and you must have scope of work available for appraiser if you have not already provided one to DHLC.
When appraisal and scope of work are complete, DHLC’s approved estimator will review these items and view the property in order to generate the Pre-Purchase Inspection Report. This report outlines each repair/upgrade item and places today’s typical cost on each. DHLC pays for this report
When final numbers are agreed upon, a Loan Term Sheet is sent to your email outlining the final loan offer. This email will also include a link to our website for payment of the doc prep fee of $450.00. You must sign and return Loan Term sheet and submit the payment for doc prep before DHLC can send closing documents to title.
There are two additional items required at closing we want to remind you of:
– ACH form – DHLC requires monthly payments be deducted directly from your bank account. This is also how funds are sent to you when a draw request is made.
– Home Warranty – at a cost of $375.00. DHLC will order this warranty. It will be charged to you on the closing statement.
1. How does the program work?
We loan Real Estate Investors money to purchase and rehab real estate. We can fund quickly, typically within 72 hours of receiving the final docs from the borrower and title company. Hard Money is available for adequately secured loans on single-family residential houses and other Real Property including commercial projects. There are just 4 simple steps to our loan: get a contract, fill out the applications, provide the required documents, and close the loan.
The application covers the below 3 topics.
* Credit authorization
* Borrower information
* Property evaluation
The credit authorization is used to pull credit. We don’t have a minimum credit score requirement but to get the best rate and terms (Premier Borrower) a 660 FICO minimum score is needed. The borrower information is used to gather the information needed for the Promissory Note and Deed of Trust. The property evaluation information identifies the important points on your deal, how much you are paying, how much is needed in repairs, how much the house will sell for, and a list of some of the other costs. This will give you a good idea of how much profit is in the property for you. After submitting these forms, you can expect a preliminary answer within 1-2 business days and funding within 7-10 days, if everything is ready and the title company has done their work.
2. What is the interest rate?
The rate is between 12% & 14% interest only annualized and payable monthly. See our Loan Program Overview.
3. What Loan-to-Value are you looking for?
Typically a loan does not exceed 70% of the after-repaired-value (ARV).
4. How long is the loan for?
We write the notes for 6 months. There is no pre-payment penalty. (If you are in good standing the loan may be renewed for an additonal 6 months. Ask for details)
5. What are the costs?
All loans will require at-least a Title Policy, Insurance, Inspection, “As-Is” and “As Repaired” Appraisals & Flood Certificate.
6. Can I get repair money?
Yes. We fund 100% of the repairs. We require a scope of work and general contractor’s bid to be included with the application allowing us to identify the order in which you will repair the property as well as copies of the bids from the vendors. Then, we will reimburse you as the work is completed and inspected. NOTE: We do not pay in advance for any work.
DHLC will provide funding, for qualified investors up to 70% of the ARV (After Rehab Value). On a house with an ARV of $150,000 that means an investor could qualify to borrow up to $105,000. 100% of the rehab amount will be escrowed for construction draws and the balance will be available to be used towards the purchase price.
7. Does my credit matter?
Maybe. For the most part, we look at the value of the property after it is repaired, how much you are paying for it, and how much the repairs will cost to determine how much we will lend. However we do require that our borrowers have a minimum of a 660 FICO Score for the Premier Borrower pricing.
8. How do you decide how much to loan?
Typical loan range from $50,000 to $350,000: All loans are considered on a case-by-case basis. Minimum ARV (after repair value) is $100,000. We have funded loans in excess of $1 Million so we can accommodate most any project.
9. Where do you loan?
We loan in all of the major metropolitan areas of Texas
10. What states do you loan in?
Just in Texas
11. Do I need an appraisal?
Yes, we require “as-is” & “as repaired” appraisals from one of our “approved” appraisers.
12. Do you require inspections?
Yes, we require inspections including the interior before funding and before each repair draw to ensure the work is completed in a satisfactory manner.
13. Do I need to put any money down?
Yes. Typically a borrower will bring 6% – 10% to closing which includes points, insurance, Per Diem Interest and, Doc Prep & title fees. We look to ensure that you have enough resources to finish the repairs and cover the costs of the loan plus any surprises.
14. How long does it take to fund?
We can fund as-soon-as we have the appraisal, proof of insurance, a title policy, and a letter from the title company that they will follow our closing instructions.
After submitting the DHLC Loan Application, you can expect a preliminary answer within 1-2 business days and funding within 72 hours of receiving a fully complete loan package. A typical loan takes 1 – 2 weeks from application to closing
15. How many loans can I have opened at any one time?
Provided you are current on all of your loans, no limits are set.
16. How much will my payments be?
To figure your monthly payment simply multiply the interest rate by the loan amount and divide that number by 12.
17. Will you finance commercial properties?
On a case-by-case basis.
18. Will you finance apartment buildings?
Yes, we finance apartment buildings however understand that it will take us longer to get our due diligence done.
19. Do you allow interest to be deferred to the end of the loan?
No. Our programs have interest payable monthly.
20. Do you require a survey?
Yes. We will accept an existing survey if there have not been any structural changes
21. What paperwork do I need to do?
Once you fill-out the Online Application, we will need a copy of the Contract and the Scope of Work. We will also need the required documents listed on initial letter you receive after you have submitted your application in-order to close and fund the loan.
22. Do you do re-finances?
Yes we do.
23. Do you loan on rural property?
No. Exceptions sometimes made on a case-by-case basis.
24. Do you loan on rental property?
We can loan on rental property, but you will need to have the property refinanced when the term ends.
25. Do you lend on properties in the flood zone?
Yes. However the Max LTARV is 65%.
26. Once the Loan has Closed can I deviate from the “Approved” Scope of Work?
NO! If you do you will be solely responsible for any increase in costs over and above the original approved items and their associated costs.