The 504 Program For Refinance
Businesses can again refinance owner occupied real estate using the 504 loan program.
The fantastic SBA 504 loan program just got even better for business owners and lenders. With the return of the powerful refi program, businesses can refinance their conventional mortgage and lock in our low, 20-year fixed rate for a portion of the debt. Additionally, any equity greater than 15% of the appraised value that the business owner has in the property can be used for such itemized business expenses as debt reduction, inventory expansion and other working capital needs. We make it easy and painless for the business owner to save money and for the lender to strengthen its position - it's a powerful win-win for all.
Rules for Refinance with 504
- Commercial real estate must be at least 51% owner occupied.
- The debt to be refinanced must be at least 2 years old.
- Your business must have been operating for the entire 2 year period.
- The debt to be refinanced must have been substantially (85% or more) used for eligible 504 purposes originally (commercial real estate, heavy machinery, equipment, and closing costs related to the property).
- Loan payments must be current for at least the 12 months immediately prior to the application date.
- The max Loan to Value is 90% of the appraised value.
- Federally guaranteed loans are NOT eligible for refinancing.
Call or e-mail today to find out more.
Phone: (312) 527-4927
Phone: (847) 510-5958