Interest Rate and Terms

NEW LOAN PRODUCT WITH LITTLE/NO REHAB

CIC has a new, faster 3-year adjustable mortgage product for buildings needing little or no rehab. Terms differ from our standard adjustable loan product (below):

  • 10-Year term, 25-year amortization
  • 75% Loan to value
  • Reduced interest rate; ask a loan officer
  • Modest prepayment penalty during the first 3 years
  • Expedited processing.

Contact a CIC loan officer to discuss if this will fit your needs.

 

STANDARD ADJUSTABLE RATE MORTGAGES

 Click here for a loan application

RATE: Ask a loan officer for current rates.

TERMS:
Usually 10 years with a 25-year amortization
Personal recourse/guarantee normally required

MAXIMUM LOAN TO VALUE:
80% of projected after-rehab value for 3-year adjustable loans;
70% of projected after-rehab value for 5-year adjustable loans

MINIMUM DEBT COVER:
Normally 1.25

PREPAYMENT:
NO penalty or “lockout” period on ARMs

APPLICATION FEE:
$300 (nonrefundable)

FINANCING FEES:
Normally 3% [IMPORTANT: This includes more free services than at a bank; ask a CIC loan officer about it] Negotiable for loans over $1 million

Compare your CIC bottom line with other lenders who charge legal and other fees separately.

For information, call CIC at (312) 258-0070 and ask for a loan officer, or email us at info@cicchicago.com .

CONSTRUCTION INSPECTION FEE:
0.75% of construction amount

CONSTRUCTION INTEREST:
Prime + 3 points or permanent loan rate, whichever is higher

THIRD-PARTY REPORTS:
Appraisal: Varies according to project size
Environmental: Phase I on loans over $1 million, or on mixed-use

How are ARMs adjusted?

  • The 3-year mortgage rate adjusts at 350 basis points over 3-year Treasuries, and the 5-year rate adjusts at 350 basis points over 5-year Treasuries.
  • The maximum adjustment for a 3-year rate is 2% at any one change, and 5% over the life of the loan.
  • For a 5-year rate, the maximum adjustment is 3% at any one change, and 6% over the life of the loan.
  • All adjustments and caps apply to both increases and decreases in rates.


All rates  and terms subject to change. Please call to confirm current rates.