InterResidence Finance
Real Estate Finance & Equipment Leasing
Recent Guidelines & Rates:
InterResidence Finance
Recent Financing Arrangements - Guidelines
InterResidence Finance will consider financing under the following terms and conditions, which may change without notice:
Inter Residence Finance will only work through local representatives. We will not work directly with borrowers, brokers, or any others. Any and all communications MUST go through our local representative. Financing is only available in approved countries,
Inter Residence Finance will only consider and / or lend against pre-approved properties that have been inspected by us. In order to pre-qualify a property, a fee payable up front of U.S. $1875 shall be paid for each residential property, U.S. $3,500 for each commercial, Investment, or other property. The actual fee will be the higher the above or of .65% of the estimated value of the residential property, 1.20% for Commercial, investment, or other property types. These fees are non-refundable regardless of the outcome of our decision. All reports remain our property and will not be shared. In addition to the above, all costs including air, hotel, transportation, etc. for the inspector shall be additional for any property located outside of
Only properties meeting our standards will be considered for financing. Your representative has been informed of our basic requirements.
As our loans are based upon the property itself, we generally do not require any pre-qualifications from the borrower. Borrower may be any legal entity. Proof of payment of the difference and closing costs is required. Funds should generally be deposited with us from which we will pay the seller, Notary, etc. Full disclosure of ultimate beneficial owners shall be required from any non living entity.
A mortgage against the property will be filed for financed properties. In the event of a lease / purchase agreement, title will be assigned by seller to Inter Residence Finance and / or it’s designee until the terms of the lease have been met.
All costs shall be for account of the borrower who must advance a minimum of 1% of the loan amount at time of application. Loan fees, points, and other costs will be paid from this and any differences will be adjusted at time of title passing or lease signing. Costs include but are not limited to: legal fees, filing fees & cost, Notaris fees, points, title fees, transfer taxes, and / or anything else typical in the country of registration. Appraisal/inspection fees should be negotiated with the seller if they were pre-paid by seller. InterResidence Finance shall not be involved in this. Notwithstanding inspection fees, declined loans will be entitled to a refund of the advance less any costs incurred by InterResidence as well as a processing fee of .5% of the requested loan amount. There will be no refunds for any loans approved by us at predisclosed terms but later not taken by borrower.
The property may not be encumbered by any additional financing or have any other encumbrances unless approved by us. We retain the option of ‘blanketing’ any current funding on the property.
In most cases the following terms will prevail:
We will generally finance up to 60% of the lower of the actual purchase price or our internal determination of value. Our representative will be informed of amount approved after the inspection has taken place and the property itself has been approved by us. This varies according to location, condition, type of property, etc. and is at our sole discretion.
Current rates are based on the amount of down payment and are subject to change without notice. 1 Point = 1% Loan fee.
Residential 50% down: Residential 40% down:
8.125% interest up to 7 year term 2.00 points 8.375% interest up to 7 year term 2.75 points
8.50% interest up to 10 year term 2.50 points 8.75% interest up to 10 year term 3.25 points
8.875% interest up to 15 year term 3.00 points 9.125% interest up to 15 year term 3.75 points
Commercial 50% down: Residential properties in
10.5% interest up to 7 year term 3.50 points 7.75% interest up to 7 year term 2.50 points
11.5% interest up to 10 year term 3.75 points 8.25% interest up to 10 year term 3.00 points
Lease / Purchase arrangements:
General terms (see below):
25% down, 5 year term/15 yr amortization, 8.75%, 2.5% lease fee, 2% payoff fee of final payoff amount.
25% down, 10 year self amortization, 8.75%, 2.5% lease fee.
30% down, 7 year term/20 yr amortization, 9.50%, 2.5% lease fee, 2% payoff fee of final payoff amount.
Certain commercial and multi-family properties may qualify for Lease purchase arrangements. Where applicable, a minimum of 25% of the purchase price plus transfer costs shall be required. Maximum term is 10 years. Minimum up-front lease fee 3.75% for commercial or multi-family properties. Rates shall be determined after inspection/evaluation of property and date rates are locked in. Current average rates for commercial properties 12%, multi-family properties 9.75%.
All lease/purchase arrangements require prepayment of the first and last months lease payments. Seller of property must agree to the “Master over/lease purchase agreement” that Inter Residence Finance uses with Sellers. Sellers must be pre-approved by Inter Residence Finance. There will be a U.S. $2,800 fee from buyer to cover legal and set up costs for the Master over/lease plus any costs for filing a security interest with local authorities. Prepayments under 2.5% of initial amount are allowed during any month. Prepayments in excess require a minimum of 90 days notice and a 1.5% fee penalty of the prepaid amount in excess of the 2.5% monthly allowance.
Based on rates & terms in effect August 03, 2020 Loans are available in
Email us at: info@interresidencefinance.com
These terms and conditions are subject to change without notice and may vary on a case by case basis.