Address: 75 Fifth Street NW, Suite 2170 Atlanta, GA 30308
States They Lend In: New Jersey, Maryland, D.C, Virginia, Tennessee, North Carolina, South Carolina, Georgia, Alabama, Florida
Is my project a good fit?
- Residential fix and flip project
- Located in a state where we actively lend
- Loan size of $75,000 to $1,000,000
- Rates from 7% with flexible terms
- Senior loan with LTC (loan to cost) up to 90%
- 3 weeks to close
- Simple draw process for finished work
- Complete the renovation, sell the property
- Repay your Groundfloor loan
- Access funds efficiently. Submit draw requests throughout the life of the loan. Groundfloor wants your project to succeed and reimburses you for completed works using an efficient draw process. Without the burden of monthly interest payments you can focus on completing your project.
Complete construction with no required monthly payments.
- Thousands of investors funding loans
- Quick closing and access to funds
- No monthly payments
- Get funding fast. Once approved, we list your loan on our site and alert our community that a new loan is available for investment. Thousands of investors have the opportunity to fund your loan. Loans fund in 5 hours on average.
When your loan is fully funded by Groundfloor investors, our Lending Operations Team will coordinate closing of the loan.
What kinds of real estate project does GROUNDFLOOR finance?
We currently finance residential real estate projects. Those projects can be acquisition, new construction, renovation, or lot and land loans for single-family homes or smaller multi-family projects.
What kinds of rates does GROUNDFLOOR offer?
GROUNDFLOOR uses a loan grading scale ranging from Grade A to Grade G with rates ranging from 5% to 26%.
Currently, our grading scale and corresponding rates are as follows.
Grade A: 6% | Grade B: 9.2% | Grade C: 13% | Grade D: 15.6% | Grade E: 19% | Grade F: 23.4% | Grade G: 25.8%
GROUNDFLOOR generally charges borrowers between 2 to 4 points for our services and does not take a spread on any part of the interest payment. Borrowers may capitalize the cost of closing into the principal amount requested. Closing costs typically range form $500 to $1,500. Unless otherwise limited by applicable law, GROUNDFLOOR will charge a penalty of 2% for any extension made to the borrower. Additional details may be seen in the "Fees and Expenses" section of the Offering Circular.
Does GROUNDFLOOR charge me fees?
GROUNDFLOOR is an alternative to traditional finance institutions and hard money lenders for real estate investors. Our rates and fees are competitive for the private lending industry. We offer more flexibility and efficiency than a bank and better rates and terms than a hard money lender.
Currently, GROUNDFLOOR generally charges borrowers between 2% and 6% of the principal amount of the loan for our services and does not take a spread on any part of the interest payments. Borrowers may capitalize the cost of closing into the principal amount requested. Closing costs typically range form $500 to $1,500. Unless otherwise limited by applicable law, GROUNDFLOOR will charge a penalty of 2% for any extension made to the borrower.
How much money can I borrow with GROUNDFLOOR?
no maximum or minimum limit for loan amount. Though, in practice federal and state securities laws limit the loan amount for a given project. Our current criteria favor loan amounts of at least $20,000 and no more than $500,000. However, projects requiring a loan outside of the aforementioned amounts are not automatically ruled out.
What if I want to repay my loan early?
You can repay your GROUNDFLOOR loan at any time. There is three months minimum interest required for prepayments within the first three months of your loan. After three months, there is no prepayment penalty