As a private money lender, the loan process with Sage is fairly simple and straight forward. Typically, it proceeds as follows:
- Initial phone conversation to determine two primary elements:
- Does your financing request fit within Sage’s lending parameters?
- Will Sage’s loan, terms, and timing satisfy your financing needs?
If the answer to both is yes, we then move to the next step.
- We’ll schedule a convenient time for you to come to the office and present your financing request. This will provide you an opportunity to meet us and present your project and financing request directly to the decision makers. Typically, you will provide a couple years of tax returns, personal financial statement, work/project experience, and overview of your project and a budget. After this meeting, management will convene to discuss your request. If we have an interest in moving forward with your request, we’ll move on to the next step.
- We’ll call you to set up a meeting at the collateral property to inspect the property and further discuss the proposed financing. If the collateral and project are satisfactory to Sage, we’ll begin the due diligence process.
- Sage begins its underwriting and due diligence process. This includes ordering a credit report, appraisal, title work, environmental studies as necessary, insurance, and other information as required. This phase typically takes 5 to 10 business days provided the requested information is delivered in a timely manner. If there are no issues, we’ll move forward in the loan approval process.
- The loan writeup, title commitment, and additional information as necessary are forwarded to Sage’s legal counsel for review. If legal counsel is satisfied with the legal aspect of the proposed financing, the loan is approved, and legal counsel will prepare the loan documents. This phase takes 2 to 4 business days.
- After loan approval and while legal counsel is preparing the loan documents, both you and the title company will be contacted to coordinate a closing date and time.
So typically, it takes 7 to 15 business days to close once we have met with you at the collateral property and decide to move forward with the underwriting and due diligence phase. Generally, we are able to close with only a verbal on the appraisal with the report to follow after closing. Same for an environmental report if required on certain commercial properties.