Commercial Financing Deal Evaluation

[Veronica Joyner]

Advice needed. I placed an offer on a 7 unit and after a coupe of months, my loan guy emailed a LOI from a bank with the following terms...7.25%/30 yr with 5 year prepay sliding scale penalty starting at 5% with one point reduction each year.

My gut says crappy deal. Any advice?

[Tarik Turner]

Its probably a non QM loan. Also hard to decide on how good the offer is without knowing other variables.

(Such as credit score, purchase price, LTV, Location)

Have you looked into conventional loans yet?