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Low Liquidity


By David Schmidt - March 22, 2018

Borrowers that are asset rich and cash poor may have challenges obtaining financing.  Banks frequently have liquidity requirements in their underwriting that can hinder these types of borrowers from either purchasing more properties or refinancing current assets.  In cases like this a nontraditional lender like COHI which offers private equity or hard money loans may be a viable solution.  A short term loan with a cash out option may solve the liquidity problem and hence open the pathway to more conventional and long term financing.  Often depending on the property type, location, exit plan of the borrower and current "as is" value of the subject property there may be a solution.  Please call David at 970-922-3277 to see if this option is available to you.