CRF SBA 504 First Mortgage Solution features
- Loan amounts between $250,000 and $6 million
- Terms as high as 25 years
- Fixed rate options
- Fully amortized loans with no balloon payments
Not every small business can qualify for a conventional commercial real estate loan, no matter how badly it needs it. Small business clients may lack funds for the required down payment. They may need longer terms or a lower loan-to-value ratio than you can provide. You want your small business clients to successfully manage growth, bringing more jobs and vitality to your area. But you can’t always help them on your own.
At Community Reinvestment Fund, USA (CRF), we collaborate with other lenders, including Certified Development Companies (CDCs), community banks, credit unions, Community Development Financial Institutions (CDFIs), and commercial financial advisors, to provide permanent financing solutions for “near miss” commercial real estate purchases.
We have multiple funding avenues that enable us to both originate loans and purchase existing SBA 504 first mortgage loans, depending on the circumstances. We don’t compete with your business; instead, we complement your existing loan products and customer relationships.
As a mission driven non-profit, we work with borrowers with difficult funding scenarios; for example, a business that:
Using a CRF SBA 504 First Mortgage Solution, we can originate first mortgages packaged with SBA 504 second liens for borrowers trying to:
Everyone wins. Your borrowers acquire the real estate they need for stability and growth. You earn fee income, when you refer a loan for us to originate, and when we purchase an existing loan, you gain additional liquidity.
Businesses that may qualify for a CRF 504 First Mortgage Solution meet the following criteria:
|What we feature||How the business benefits|
|Loans up to $6 million||Capital for hard-to-fund real estate projects that can’t always be financed by local lending sources.|
|Fixed-rate terms as high as 25 years||Stable, manageable monthly payments to ease cash flow and drive uncertainty out of the business.|
|Down payments as low as 10%||Lower cash outlay for businesses that need their capital to fund growth.|
|Loan-to-value ratios as low as 50%||Lower capital investment requirement keeps cash in the business for other purposes.|
|Fully amortized loans||No balloon payments that could derail the business down the road.|
Want to explore options for selling or originating an SBA 504 First Mortgage Solution through CRF? Find out how to get started as a lending referral partner.
Can a CRF SBA 504 First Mortgage Solution help you acquire the real estate you need to grow your business? Fill out a business owner financing inquiry form.
Need to fund business equipment or other non-real estate purchases? Review the CRF SBA 7(a) Loan.