Questions & Answers

1
What types of real estate properties can I finance through VCL?
  Income producing apartment, retail, office/warehouse, industrial, mixed use, hotel/motel, assisted living/medical, self-storage, manufactured housing/mobile home parks, leisure/golf courses, marinas, etc. (See Loan Programs for Preferred Property Types)
   
2
What size mortgage loans can I take advantage of?
  You can borrow from $10,000,000 and up in the Continental U.S. (Some offshore deals)
   
3
What are the other current loan terms that make VCL so advantageous?
  You can enjoy 5, 7, 10 year fixed-rate loans with interest only payments – or (10/25)
   
4
What are the interest rates on VCL loans?
  The interest rate on a VCL loan is set at a spread over the corresponding Prime rate.  Spreads typically vary within a range of 325-425 basis points, based on criteria including property type, quality and loan term.  Construction loans within a range of 375-450 basis points.
   
5
What are typical loan-to-value and debt service coverage ratios for VCL loans?
  Loan-to-value ratios are typically 70% to 85%.  Debt service coverage ratios are typically 1.25 to 1.35, except for loans secured by hotel properties, which currently require a minimum 1.50 debt service coverage ratio.
   
6
What fees do I pay to process a loan through the VCL system?
  There are no advance Loan Application Fees.  If we have a definite interest in the loan proposal after initial review of the information submitted, a Formal Loan Application Disclosure Letter will be issued, outlining the basic terms and conditions of our offering.  At this time, we will ask for a Good Faith Deposit Fee applicable towards the Commitment, advance Site Inspection Fee and, in most cases, an estimated MAI Appraisal Fee.  Our Disclosure Letter states under what conditions these funds are refundable.
   
7
How long does it take to Commit to a VCL loan?
  On average it should take approximately 30 days to Commit to a loan from the time you sign your loan application.  The VCL standard form commitment usually closes 30-45days from delivery.