Stronghill Capital Lending Parameters

Stronghill Capital is an established national direct lender for income-producing real estate—including commercial, multifamily, and investment residential properties. We specialize in serving seasoned, entrepreneurial users of capital and professional owners of income-producing real estate.

  • Property Types: Commercial, Multifamily, and 1-4 Unit Long-Term Leased Investor Residential (Income Producing Properties only)
  • Lending Areas: Nationwide U.S. lending except ND, NV, and SD in Primary and Secondary Markets (Top 120 MSAs)
  • Loan Amounts: $500,000 – $5,000,000
  • Loan Structure: Fixed Rate Mortgage Loans. 5, 7, or 10 year terms.
  • LTV: Up to 65.0% (70% Case by Case)
  • DSCR Minimum: 1.20x
  • Credit Score Minimum: 620
  • Amortizations: 25 or 30 Years
  • Recourse: Full
  • Prepayment: Locked for half the term and opens up during the last 3 months for free; in between at a penalty of 3-5pts declining 1% per year
  • Debt Yield: Minimum 9.0%
  • Rate Considerations: Dependent on LTV, Debt Yield, DSCR, and Borrower Experience. Contact us for details.
  • Rate Adjustments: Property Type, Credit Score, Borrower Net Worth/Liquidity, Loan Purpose, and Market Size.
  • Loan Reserves: 4 to 12 Months PITI Reserves required, case by case.
  • Deposits and Fees: Variable. Contact us for details.

Property Geographic Area Details

Primary and Secondary Markets (Top 120 MSAs) Nationwide except ND, NV, SD

Loan Amounts

$500,000 to $5,000,000

Interest Rates

4.5% to 8%

Max Loan-To-Value

75.00%

Max Loan-To-Cost

75.00%

Origination Fees

0% to 2%

Loan Terms

300 months to 360 months

Lien Position

  • 1st

Loan Purpose

  • Investment Acquisition
  • Investment Refinance
  • Improve Subject Property
  • Use Equity to Invest in Another Property
  • Value Add Project

Property Occupancy

  • Tenant Occupied 100%
  • Tenant Occupied Partial
  • Owner Occupied Commercial
Minimum Occupancy Percentage

80%

Property Types and Loan Types

Collateral Types

  • Residential Property
  • Commercial Property

Property Types

  • 2-4 Units Residential
  • Commercial Condominium
  • Condominium
  • Industrial
  • Mixed-Use
  • Mobile Home
  • Mobile Home Park
  • Multifamily
  • Office
  • Portfolio of Commercial Properties
  • Portfolio of Residential Properties
  • Retail
  • Single Family Residence
  • Storage Facility

Loan Types

  • Commercial Long-Term
  • Residential Long-Term Rental

Specialty Loan Types

  • Residential Long-Term Rental
  • Commercial Permanent Financing

Purchase Loan

Max Loan-To-Purchase Price

75.00%

Borrower Must Have Property Under Contract

yes

Will Provide Proof of Funds Letter

yes

Will Consider Lending on Purchase from Auction

yes

Allowed Source of Borrower’s Equity

  • Own Cash
  • Partner
  • Equity in Another Investment Property
  • Family

Residential Long-Term Rental

Further restrictions may apply. Contact us for further details.

Minimum Interest Rate

4.5%

Maximum Interest Rate

8%

Maximum Origination Fee

2%

Minimum Loan Term

300 months

Maximum Loan Term

360 months

Maximum Loan-To-Value

75.00%

Maximum Loan-To-Purchase

75.00%

Seasoning Time

12 months

Minimum Debt Service Coverage Ratio

1.10

Will Lend on a Portfolio of Rentals

Yes

Minimum Number of Properties

1

Maximum Number of Properties

50

Minimum Property Value

$250,000

Details and Requirements

Typical Closing Time (Days)

30

Fastest Closing Time (Days)

8

Works With

  • Brokers

Payment Structure

  • Amortized

Payment Structure Details

Fixed Rate: 5, 7- or 10-Year Loan Term.. 25-30 Year Amortizations

Pre Payment Penalty

yes

Loans locked for half the term and opens up during the last 3 months for free; in between at a penalty of 3-5pts declining 1% per year 5 year fixed: L(30), 3% (12), 2% (12), 1% (3), 0 (3) 7 year fixed: L(42), 4% (12), 3% (12), 2% (12), 1% (3), 0 (3) 10 year fixed: L(60), 5% (12), 4% (12), 3% (12), 2% (12), 1% (3), 0 (3) Example: 5 year fixed: L(30), 3% (12), 2% (12), 1% (3), 0 (3) (Prepayment penalty is locked for the first 30 months then converts to a 3% penalty for 12 months, then a 2% for 12 months, then a 1% for 3 months, then 0% for the last 3 months). The lockout period means they cannot prepay the loan during this time. (If the borrower decides to sell the property during the lockout period the loan can be assumed by a qualified buyer)

Will lend to a foreign national

yes

Case-by-case basis. Contact for details.

Will Allow Junior Position Mortgage(s) Behind Our Senior Mortgage

no

Will Consider Collateralizing Multiple Properties in One Loan

yes

Will Consider Equity Joint Venture

no

Borrower Entity Types Considered

  • Individual(s)
  • LLC
  • Limited Partnership
  • Trust
  • Corporation
  • Self-Directed IRA

Documentation Required

  • Credit Report
  • Tax Returns
  • Bank Statements
  • Financial Statements
  • Loan Application

Personal Guaranty (Recourse) Required

Always

Credit Check Required

yes

Minimum Credit Score Required

620

Credit Check Description

FICO scores. Rate adjustments for higher scores.

Appraisal Required for Residential Property

Always Before Funding

Appraisal Required for Commercial Property

Always Before Funding

Broker Price Opinion (BPO) Accepted for Residential Property

Sometimes

Broker Price Opinion (BPO) Accepted for Commercial Property

Sometimes

Fees

Deposit Required

$1,000.00 to $5,000.00

Hard Cost + Underwriting Fee

Underwriting Fee

$1,195.00 to $0

Single Assets: $1,495 ($1,195 for Single Family (1-4 Unit)) Portfolios: $250 per additional property ($50 per additional Single Family (1-4 unit) property) Additional Fees included within Underwriting Fee

Escrow Fee

Upfront: 2 full months of estimated tax and insurance Monthly: 1/12 of estimated annual tax and insurance

Appraisal Fee

$3000 to $5000 - Commercial $400 to $900 - Residential

Fees which are mandatory for all new borrower clients

  • Deposit
  • Underwriting Fee

Fees which are charged upfront prior to loan closing

  • Deposit
  • Underwriting Fee

Fees which are paid to a third party company

  • Deposit
  • Underwriting Fee

Legal Disclaimer

Rates included are indicative. Further restrictions may apply.

Additional Details

Stronghill Funding Inc. is a California DRE licensed corporation, License 02091978. Further restrictions may apply.

About Stronghill Capital

Stronghill Capital is an established national direct lender for income-producing real estate—including commercial, multi-family, and investment residential properties.* We specialize in serving seasoned, entrepreneurial users of capital and professional owners of income-producing real estate.

Lending since 2018, Stronghill Capital provides a reliable and efficient process that our partners can expect, deal after deal. Our experienced team is adept at building and maintaining long-term relationships with borrowers and intermediaries to support their ongoing needs.

Our loan solutions range from $500,000 – $5,000,000, and we can assist clients with larger lending needs through our affiliation with ArrowMark Partners. Our leadership team consists of accomplished real estate experts with multi-billion-dollar experience in asset management and lending.

*Excluding senior living and hospitality

License

CA DRE Lic. 02091978 | Stronghill Funding Inc.

Company Size (Number of Employees)

55

Year Established

2018

Associations

  • Mortgage Bankers Association - Member
  • CRE Financial Council - Member
  • Equal Housing Opportunity

Office Locations

Stronghill Austin Headquarters
7200 N MoPac Expy, Suite 100, Austin, Texas 78731

Primary Capital Source

  • Own Funds
  • Bank Credit Line
  • Asset Management Companies

Alternative Capital Sources

  • Own Funds
  • Bank Credit Line
  • Asset Management Companies

Loan Structure for Majority of Loans

  • Own Balance Sheet

Alternative Loan Structures

  • Own Balance Sheet

Percentage of company’s lending business focused on private mortgage

100%

Company’s Other Business Activities Besides Private Mortgage Lending

  • Commercial Mortgage Banking
  • Residential Mortgage Banking

Percentage of Loans Secured by Commercial Property

75%

Percentage of Loans Secured by Residential Property

25%

Justin Kintz, CCIM

Managing Director

Brian B. Simmons

Managing Director

Melissa "Missi" Snowden

Director

Loan Request

Short Description of your Loan Request or Property Address

This information is about yourself, not the subject property.

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If Borrower is not seeking additional funds for the renovation, change the Loan Type to Purchase or Acquisition.

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how will the loan be paid off?

acres

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