Before you decide on pursuing a loan for your Church or Religious Organization, here are some points to consider:
2. Count the Cost
3. Beware of the"Fast Food" Mentality
4. Be Aware of the Proper Sequence of Events
5. Understand "Cash Flow"
6. Making it Come Together
7. Choosing a Guide
Needs Analysis:
Such a critical, but often neglected area. You should always be thinking, "The Big Picture."
Let us assist you in considering:
Space Needs- Now and Later
Regulator Requirements by Local Authorities (There are MORE than you think!)
Growth Curves
Ministry and Outreach
Your Vision
Count The Cost:
Common errors and hidden stumbling blocks can slow progress, frustrate and even stop a building, remodeling or relocation project.
You may rely on your ChurchCa$h consultant to guide you through the maze and allow you to benefit from experience gained over twelve years and with hundreds of churches across America.
Beware Of The "Fast Food" Mentality:
Many ministries fall victim to the "We Need It All Now" syndrome.
ChurchCa$h will guide you through the maze of planning a project that compliments, rather than conflicts with, your budget and ministry needs. Scores of thousands of dollars may be saved using wise counsel and taking the time to properly phase your project.
Part of your ChurchCa$h Consultant's service to you is analyzing your growth and borrowing ability prior to your committing funds to outside professionals.
Be Aware Of The Proper Sequence of Events:
All too often ministries needlessly spend untold thousands of dollars for architectural plans which design structures for which the ministry is unable to financially qualify to build.
Your ChurchCa$h consultant will assist you with:
Scheduling each aspect of your project to maximize the use of your funds and minimize wasted time and money.
Reviewing the qualifications of your building, legal or financial professionals to help assure they are capable of doing it right the first time.
Maneuvering through the maze of Federal, State, County or Municipal regulatory requirements which may negatively affect your project and drive up your costs. Among these regulatory requirements are environmental concerns, building codes or other local regulations.
Understand Cash Flow:
Ministries are typically not for profit in more ways than one. Every penny that comes in is spent. While this is great for ministry, it is destructive to a ministry's borrowing potential.
Your ChurchCa$h consultant will walk you through the maze of financial truths. Your borrowing power will be analyzed, strengths and weaknesses discussed and action plans developed to address short and long term needs of the ministry.
Making It Come Together:
Some ministries only want or need assistance here and there. Others depend on a full spectrum of services and guidance from assessing your need to working with local planning departments all the way through the project completion.
ChurchCa$h is ready to serve you in any part of the process... every step of the way.
Choosing A Guide:
So... you've heard "We need to..." and you're ready to get started. Are you ready to make the journey through the maze as painless and smooth as possible? Give us a call today.
Our consultants are ready to help you through the maze associated with financing.
Church Loans and Not- for-Profit Loans:
Church and Non - Profit loans are low document loans.
ChurchCa$h can obtain funding at the lowest interest rates,(depending on individual qualification), five year fixed plus five year fixed rate loan with a 20-year amortization. Any size membership. Construction loans are also available.
ChurchCa$h brings over 12 years experience in church financing.
Our company is based on the belief that our customers' needs are of the utmost importance.
Our entire team is committed to meeting those needs.
As a result, a high percentage of our business is from repeat customers and referrals.
We would welcome the opportunity to earn your trust and deliver you the best service in the industry.
Church Construction Loan to Permanent Loan Program:
Our network lender programs combine the church construction loan and permanent financing of your project. You qualify for the loan once, lock in the permanent rate, sign one set of loan documents and have up to 12 months to complete the construction.
During the construction period, interest is charged only on the funds that have been disbursed. When the project is completed, the permanent loan period begins.
This is a "One Time Close" church construction loan program to finance the construction of a new sanctuary, educational wing, gymnasium, etc. providing both the construction financing and permanent loan all in one closing. This means that you sign only one set of loan documents and do not have to worry about re-qualifying, re-appraisals, additional closing costs or signing additional loan documents.
Unlike a purchase transaction of an existing church, a Construction To Permanent Loan involves determining the value of something that is not yet constructed! To assist the appraiser and the lender in determining the value of the structure after it is built, information must provided as to:
What is going to be built or constructed?
What materials are going to be used?
How much will the material cost?
How much is the actual work going to cost?
How much did the land cost, what is it worth today?
How much will be spent on plans and permits?
You will have another very important item to be concerned with, which is your organizations choice of the general contractor who will be awarded the contract and the actual text of the construction contract.
From the general contractor, the lender will need a resume and a builder's application to be completed along with a credit check. This is for your protection as well as the capital provider's, and ensures that he/she is experienced, has a proven track record, and will be able to perform under the terms of the contract.
In addition to the above, our network lenders will of course need the standard income and credit documentation that is required in any real estate.
CHURCH MORTGAGE LOAN:
This type of loan is used to buy real estate and is always a first mortgage. Your organization may be purchasing land, a larger sanctuary, or even a day care center. Each of these has its own set of lending "rules" that dictate how your church mortgage can be structured.
Our network lenders will consider the property type, your organization's assets, income, and the amount of money you have to put down to determine how much they will lend and at what rate.
