The RELM Bridge Loan Process: From Start to Close
At RELM, we understand that time is of the essence when it comes to real estate investments. Our streamlined bridge loan process is designed to help you close faster than traditional loans or other hard money lenders. Here’s a step-by-step guide to navigating the RELM Bridge Loan journey:
Step 1
Pre-qualification
Getting pre-qualified with RELM is a breeze. Access our user-friendly online platform, enter the property address, and answer a few basic questions about yourself. To ensure your FICO score meets the minimum requirements, our system conducts a soft credit pull, which won’t impact your credit scores.
You can select the loan option that aligns with your needs and generate a detailed loan summary. Need a pre-qualification letter? No worries – you can conveniently download one from the platform.
Step 2
Loan Application
Once you’ve identified your investment property and are ready to take the plunge, submit your loan application via our online platform. Choose your preferred loan option based on your project requirements and click the “Submit for Review” button to initiate your application for financing. When your application is 100% complete, it progresses to the next stage.
Note: Before submitting your application, it’s a good practice to reach out to your RELM representative. They can help you crunch the numbers, provide valuable insights, and guide you through any questions you may have.
Step 3
Processing – Timeline: As little as 4 days
Upon completing your loan application, it’s assigned to a dedicated loan processor. Your processor conducts an initial review and initiates orders with title and insurance companies. Additionally, a property inspection is scheduled, involving a third-party expert who captures the property’s current condition through photographs.
During this phase, you’ll be prompted to upload specific required documents to your online dashboard and create a Scope of Work (SOW). If there are any issues or questions regarding the information provided, your processor may reach out for clarification and additional documentation. Once your loan package is complete, it advances to our in-house feasibility team.
Step 4
Feasibility – Timeline: As little as 1 hour
Our in-house feasibility team meticulously reviews the inspection photos and your Scope of Work (SOW). They scrutinize the budget line-by-line to ensure its feasibility and viability. The goal is to align expectations between you and us regarding the project’s feasibility.
During this check, our analysts may seek additional clarification. Upon completion, they create a feasibility report and transfer the loan to our in-house valuation team.
ProTip: Provide a detailed Scope of Work for a speedy loan origination process.
Step 5
Valuation – Timeline: As little as 3 days
Our internal valuation team assesses the inspection and feasibility reports. Additionally, they gather sales comps, properties sold within the last 6 months within a one-mile radius of your property, to determine the After Repair Value (ARV) of the property. This estimation helps gauge the property’s post-renovation worth. Simultaneously, the file undergoes underwriting.
Step 6
Underwriting – Timeline: As little as 1 day
RELM’s proficient team of underwriters conducts a thorough review of the entire file. They ensure the loan aligns with guidelines and standards while verifying the accuracy and completeness of paperwork. Prompt responses to any underwriter inquiries are crucial to keep your loan on track and prevent closing delays.
Closing
Once your loan gains underwriting approval, it’s time to close. Our closing department collaborates with the title agent you selected at the beginning of the process to coordinate the closing date and send them the necessary documents.
At the closing table, you’ll sign the required documents, exchange funds, and receive the keys to your property.
The title company ensures proper execution of all legally required loan documents and verifies insurance coverage. Once the loan documents are signed, the agent forwards the originals to the lender, and the funds are released.
RELM is committed to simplifying and expediting your bridge loan journey, helping you seize real estate investment opportunities with ease and confidence.
