Commercial real estate loans are big business, and fortunately more options are becoming available for business people in the real estate market.
With the growth of peer-to-peer lending has come a growth in financing options for those who are looking for financing for real estate projects. One company that's responsible for making these kinds of loans available is Money360.
Money360 is a peer-to-peer (P2P) lending platform for commercial real estate loans, matching worthy commercial real estate borrowers with institutional and accredited private investors. Their lending platform serves as both a primary and a secondary market, underwriting/originating new loans and also selling seasoned loans that were previously funded by Money360 or its affiliates. All loans are serviced by them.
Money360 offers borrowers speed, convenience and reasonable terms while offering investors direct access to new and seasoned commercial real estate loans that provide attractive risk-adjusted returns. Their loans are short-duration, high-yield investments in first-lien position on commercial property.
Money360's Target Market
Commercial Real Estate Loan Investors / Lenders
Individual Accredited Investors
- Mass affluent (individuals with $100,000 to $1,000,000 of liquid financial assets)
- Ultra-high-net-worth individuals
- Family offices
- Financial advisors/consultants who advise the types of investors referenced above
Institutional Investors/Advisors /Managers
- Private money lenders
- Hedge fund managers
- Insurance companies
- Pension fund sponsors
- Commercial banks
Commercial Real Estate Loan Borrowers
Commercial real estate sponsors, i.e., individuals who want/need to borrow money to purchase commercial real estate or to refinance loans on properties that they already own. These individuals are typically wealthy entrepreneurs who do a lot of deals in real estate.
Commercial Mortgage Brokers
Commercial mortgage brokers like working with Money360 given the speed and flexibility that Money360 delivers relative to other lenders. It’s not uncommon for Money360 to close a loan in less than 10 business days (e.g., Palm Desert office loan; Las Vegas retail loan), which is very fast for multi-million-dollar commercial real estate loans.
What Money360 Offers
- Direct access to exclusive commercial real estate lending (investing) opportunities that they would otherwise not see.
- A broad spectrum of lending opportunities. (i.e., Secured loans collateralized by professionally valued commercial real estate)
- Diverse property types nationwide
- Loan amounts = $1 million - $15 million
- Short term “bridge” loans (1-3 years) and “mini-perm” loans (3-5 years)
- Every loan request is carefully underwritten and priced by Money360’s experienced team of real estate professionals. (The process is so selective that less than five percent of all loan applications received end up being accepted onto the Money360 platform.)
- Strong risk-adjusted returns
- Transparency (Investors see the same information that Money360 sees)
- Lenders have the ability to access a comprehensive digital loan summary or view individual due diligence items via Money360’s secure data room.
- Money360’s investing opportunities enable investors to build their own investment portfolio and benefit from the diversification of a fund/REIT yet have the transparency and detail of a single asset.
- Allows investors to diversify their investments to minimize their risks.
- Simple application and quick funding
- Access to capital (a loan) at favorable terms
- Loan types: bridge loans and mini-perm loans
- Loan size: $1 million - $15 million
- Loan terms: 1 - 5 years
- Fixed rate loans; interest only payments
- No pre-payment penalties after the first year
- Non-recourse available
- Property location – Nationwide
What Sets Money360 Apart From Other P2P Lenders
There are currently four main categories of P2P lending:
The market for real estate loans is approximately $13.4 trillion (including residential loans). Of this market, almost $3.5 trillion is for multi-family and commercial only, Money360 operates in the real estate vertical, where it focuses exclusively on commercial real estate loans (e.g., office, industrial, retail, multifamily, etc.). Most real estate-oriented P2P lending platforms are focused on non-owner-occupied residential real estate loans (e.g., “fix & flip” loans).
Money360 can move fast to finance loans (unlike banks and other commercial real estate lenders), they also boast a seasoned team of commercial real estate professionals with a solid track record (available upon request).
Why Use Money360 For Your Commercial Real Estate Loans
In this low interest rate environment, Money360's commercial real estate loan service offers yield-hungry investors short-duration, high-yield fixed income investments that are secured in first-lien position by commercial real estate. They offer very attractive risk-adjusted returns relative to other asset classes and offer commercial borrowers expedited access to capital and a wide variety of loan options at reasonable terms.
You can benefit from Money360's loan services by checking out their website. Borrowers and investors can apply at www.money360.com.