Rehab / Hard Money FAQ

Greenpoint Equity makes loans to qualified real estate investors requiring capital to acquire and rehab non-owner occupied 1 - 4 family residential, commercial and investment properties in California.
In what states do you finance properties?
State of California only.
Do you charge any upfront fees?
We do not charge upfront fees to consider any loans.
Who orders the appraisal?
We order all appraisals, if required, using only appraisers that are approved by us.
What if I have an appraisal done already?
We will always take a look at an existing appraisal but all appraisals are subject to review. The best and usually most cost effective strategy is to let us order all appraisals, if required.
What Loan to value do you offer?
We are able to offer up to 60% of the properties “As-Is” value or 55% of the After Repaired value (ARV).
How long do you take to close loans?
Usually 7 to 14 days.
Can I use a project Manager?
You can manage your own project as an Owner Builder, hiring licensed Sub-Contractors. You can also hire a licensed General Contractor.
What is “A.R.V.?”
After Repair Value. We lend money based on the After Repair Value or Future value on properties needs rehabbing.
What is “Future Value?”
Future value is the appraised value of the property if it were completed today. The appraisal assumes that the construction or rehab is completed within a specific time period and is compared to like properties in the immediate area.
What is “Loan-to-Value (LTV)?”
Loan-to-value is calculated when you take the loan amount and divide it by the future value of the property. For example, if you have a project that has a future value of $500,000 and you need a loan for $300,000 to complete the project, your loan to value would be 60%.

$300,000 / $500,000 = .60 or 60%
How much financing can I receive for my Rehab project?

It depends on the after repair value of your project when completed. We lend using the future value of the property if it were repaired today.

We typically lend up to 65% of the after repair value.

Can cross collateralize other properties to reach LTV.
How fast can I obtain financing for my Rehab project?

The application process takes 24-48 hours after we have received your:

1) Completed and signed application.
2) Construction Breakdown.
3) Purchase Contract, etc.

Then we will ask you to prepare a line item budget for the repairs to the property. Once the budget has been submitted we will order a future value appraisal of the property. The appraisal takes about 5 business days.

After the appraisal has returned we can prepare documents for you to sign. This process takes anywhere from 5 to 10 days depending on when we receive all the items described above

How much can I borrower?
It depends on your ability to qualify for the financing. We want to make sure that you can afford the monthly payments.
Do you require a fund control during a rehab/construction period?
Yes.  It is necessary to have a fund control or voucher control system in place.  Fund control protects the interests of the contractors, owners, investors and lenders.
Is there a fee for fund control?
Yes.  Rehab or ground-up construction requires a fund control. The fee is based upon rehab or construction cost.
Release of Rehab Funds?
Rehab funds are usually paid in one to three draws after verification of repairs, and mailed to you or wired directly to your account.
What if no repairs are needed?
If you're buying the property at a discounted price and no repairs are needed, we will offer you a loan base the "as is value". Our appraiser will be able to provide the current as is value and we will lend on that as opposed to the purchase price.
How many projects can I do at once?
It depends on your ability to qualify for the financing. We want to make sure that you can afford the monthly payments and repairs costs.
ECOA CA. Bureau of Real Estate, License No. 01358720, NMLS ID 503753.