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Success StoriesAs a business development officer with Auburn Community Bank, I have known Colin Clemitson of North City Financial for more than five years. During those five years, I have referred to Colin many commercial loans that fell outside of the lending parameters of Auburn Community Bank. In each case, Colin treated the clients in a professional, courteous manner and managed to obtain for most of the clients a commercial loan that suited their financial needs. I would highly recommend Colin Clemitson and North City Financial as a source for unique and unconventional loans. Steven J. Smith |
FAQHow long does it take to close a loan?We have closed loans in as little as 10 days, but the average loan closing is about 21 to 40 days from the time all relevant documentation has been received. This is very quick in comparison to bank or institutional loans closings, which typically take 60 to 90 days. Why do some programs require no tax returns and income verification?Because nearly all of our loans fall “outside the box”, the underwriting process places the most emphasis on the whole picture, and not just the borrower. What is a FICO score?A FICO score is a credit score developed by Fair Isaac & Co. Credit scoring is a method of determining the likelihood that credit users will pay their bills. Fair, Isaac began its pioneering work with credit scoring in the late 1950s and, since then, scoring has become widely accepted by lenders as a reliable means of credit evaluation. A credit score attempts to condense a borrowers credit history into a single number. Fair, Isaac & Co. and the credit bureaus do not reveal how these scores are computed. The Federal Trade Commission has ruled this to be acceptable. Why do interest rates differ between lenders?To understand why interest rates differ, it is important to realize that interest rates are a direct result of risk involved in the loan. The higher the risk the higher the rate. That is where we come into the picture. Because we have a large number of lenders who specialize in unusual loans, we are often able to close the loan at a rate comensurate with the risk, something that most banks will not do. Effect of economic data on rates Number of arrows indicates potential effect on interest rates. 1 arrow=least effect, 5 arrows=max. effect
What type of appraisal is required & what is the cost?Commercial appraisals are very detailed and complex in comparison to a residential appraisal, and require a lot of research and investigation. They are produced generaly in a narrative form. A full summary appraisal is required to be done by a qualified commercial appraisor. Are the rates fixed or adjustable, and are there balloon payments?We offer both fixed rate and adjustable rate loans, as well interest only loans, depending on your requirements. Most commercial loans are amortized over 20 or 30 years but may be due in a shorter period than that, which would mean that they could balloon. Each property type determines the mix of different loans available. |
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