As the Oregon Coast’s hard money lender of choice, we serve Astoria, Seaside, Manzanita, Neskowin, Lincoln City, Newport, North Bend, Coos Bay, Bandon and Gold Beach.
Why is First Capital Funding, Inc. considered the Oregon Coast’s hard money lending provider of choice?
First Capital Funding, Inc. is a hard money mortgage broker with numerous lending sources to finance your real estate investments.
What does this mean to you?
First Capital can be your one trusted financing source for acquiring, developing and renovating investment properties. And when you need long-term financing for a stabilized property, First Capital has you covered, with multiple long-term loan options designed to meet the needs of real estate investors.
We find that real estate investors often have complex situations that can make financing a challenge. Each situation is unique, which requires expert knowledge on the best lender for that particular loan. First Capital has worked through countless financing scenarios with hundreds of borrowers throughout the past decade, placing loans and funding projects with both hard money and institutional lenders. We’ve built an extensive network of lenders to find the right financing for you and your project, no matter how complicated the situation might be.
First Capital Funding, Inc. is a leader in providing hard money financing for real estate investors
What Does a Hard Money Loan on the Oregon Coast Cost?
Hard money loans on the Oregon Coast usually cost between 2-4 points for origination fees with an interest rate in the 10-13% range. The term of the loan can span three months to 15 years. Additional fees can start at $1,095 for loan documents, up to $3,500 for an attorney to draft loan documents for an individual trust deed investor.
Unlike conventional mortgages, there is no one-size-fits all pricing for hard money loans. Each loan has unique circumstances that impact pricing.
Loan Type: First Capital originates eight types of hard money loans and numerous bank financing programs. Each type of loan has a different pricing structure.
Property Type: A bridge loan on a single-family home will usually have lower closing costs than a construction loan to build 10 spec homes.
Project Scope: A cosmetic fix-and-flip project with a $30,000 rehab budget that will be sold in two to three months is much easier than an 18-property cross-collateralized blanket loan against a mix of commercial and residential rental properties.
Funding Source: There are five different funding sources for private money loans – individuals, real estate offices, family offices, conduit lenders and mortgage funds. Each has preferences for the property types and scenarios they’ll finance. In turn, their pricing structure will reflect their risk level.
Availability of Capital: If you have a complicated project, few lenders are willing to take on something with many moving parts, increasing the cost of funds.
Borrower Experience Level: A first-time house flipper will be required to have a larger down payment, pay more in closing costs, and have a higher interest rate than someone who has bought and sold 20-30 properties every year for the past decade.
Borrower Financial Strength: Stronger borrowers will have a lower cost of funds than borrowers who are continually defaulting on debt.
What Types of Hard Money Loans Does First Capital Funding, Inc. offer at the Oregon Coast?
Hard money loans can be used for a variety of different purposes. First Capital Funding, Inc. offers the following types of loans to real estate investors in the Oregon Coast:
Whether you’re looking to secure financing for a purchase, refinance, or cash-out refinance, here are some advantages to using a hard money loan:
Speed/Closing Time: Hard money loans can close quickly if you have a five-day offer deadline or your bank financing fell through at the last minute. In an emergency, First Capital Funding, Inc. has closed loans in as short as 24 hours; however, the normal closing time is 5 to 14 days.
Credit Score Not a Major Factor (but still taken into consideration): Hard money lenders will check your credit to get a sense of how you've paid your bills in the past. If your exit strategy is to refinance, a hard money lender will want to make certain you have strong credit to qualify for long-term bank financing to pay off a construction or bridge loan. A few blemishes are okay. But a long-term history of delinquencies and loan defaults will probably keep you from obtaining a hard money loan.
Rehab and Non-Stabilized Property Financing: Because of their poor condition, being entirely empty or high vacancy rates, some properties are ineligible for bank financing. Hard money bridge loans can help investors purchase properties to renovate or stabilize with long-term tenants.
Why Choose First Capital Funding, Inc. for hard money financing on the Oregon Coast?
Simply put, we know hard money lending. Since its inception in 2013, the company has originated more than 2,500 loans totaling over $2.5 billion. In 2022, the company originated 500+ loans for real estate investors across 23 states.
First Capital has numerous borrowers returning again and again to fund their projects. Many clients originally came to FCTD for one type of loan, like a fix & flip. However, as time went on and needs changed, the company was there to help them navigate their new projects with the right loan. The fix and flip investor may move on to rental properties, a second mortgage, ground up construction, a loan for their primary residence, and maybe a cross-collateral second mortgage. FCTD is there every step of the way.
As mortgage brokers, we aren’t bound to one capital source like a hard money lender. This helps when the capital markets freeze like we saw at the outset of COVID. Many hard money lenders who originate and sell their loans to Wall Street, known as conduit lenders, froze all fundings for a few months. But First Capital shifted loans to mortgage funds, family offices and individual trust deed investors to keep projects moving forward until the conduit lenders started lending again.
While we’re not always the right option for borrowers, we are very resourceful and help our borrower clients obtain financing for their projects.
Disclaimer: Information, rates, and pricing are subject to change without prior notice. All loans subject to borrowers and underlying collateral meeting First Capital Trust Deeds’ and/or assigns then-current underwriting criteria. Other restrictions apply.
