Our Vision
Our vision is to be the preferred financial partner for investors and businesses, known for our reliability, integrity, and dedication to helping clients achieve success in commercial and residential real estate. We aim to redefine lending by making financial growth accessible and achievable for a diverse range of clients nationwide.
Our Mission
At NDM Commercial, our mission is to empower investors and business owners by providing flexible and innovative financing solutions for both commercial and residential real estate. We are committed to delivering financial services that support our clients’ needs, fostering long-term partnerships and empowering them to reach their growth goals.
The Three Types of Clients at NDM Commercial
Residential Property Investors
Real estate Investors seeking private lending solutions for residential properties, including DSCR loans and short-term rental financing for single-family homes and multi-unit investments. We provide flexible financing options designed to support their growth and efficiently manage their residential portfolios.
Business Owners and Entrepreneurs
Small business owners needing financing to support business growth, property acquisition, or expansion. Our commercial loan solutions, including SBA 7(a), SBA 504, and alternative financing programs, ared esigned to provide the capital they need to achieve their business goals.
Commercial Real Estate Investors
Commercial real estate investors seeking financing solutions to acquire, refinance, or expand their commercial property portfolios.
These investors benefit from our loan options, designed to support a wide range of real estate investment strategies.
What is a DSCR Loan?
A Debt Service Coverage Ratio (DSCR) loan is a type of real estate investment loan designed specifically for income-producing properties. It’s used by investors who want to purchase or refinance rental properties without needing to prove personal income. Instead of traditional income documentation like pay stubs or tax returns, DSCR loans rely on the property’s cash flow to qualify the borrower. The focus is on the property’s ability to generate enough income to cover the loan payments.
Here’s how it works: lenders calculate the DSCR by dividing the property’s net operating income (NOI) by the total debt service (mortgage payments). If the ratio is above 1.0, the property generates sufficient income to cover its debt obligations, making it more attractive to lenders. For example, a DSCR of 1.2 means the property generates 20% more income than needed to cover debt payments.
DSCR loans are popular among real estate investors because they allow for flexibility, usually offering competitive interest rates and simplified approval processes that focus on the property’s cash flow rather than the borrower’s income.
What is an SBA 7(a) Loan?
An SBA 7(a) loan is a popular type of loan backed by the Small Business Administration (SBA) in the United States, designed to support small businesses by providing access to financing they may not be able to obtain through traditional bank loans. These loans can be used for a wide variety of purposes, such as purchasing or renovating real estate, acquiring equipment, refinancing debt, covering working capital needs, or even purchasing a business.
Key features include:
- Loan Amount: Up to $5 million, making it suitable for small and medium-sized business needs.
- Repayment Terms: Typically, up to 10 years for working capital and equipment and up to 25 years for real estate purchases.
- Interest Rates: Rates are competitive and are set based on the Prime rate plus a spread.
- Partial SBA Guarantee: The SBA guarantees a portion of the loan, reducing risk for lenders and enabling them to offer favorable terms to qualified small businesses.
To qualify, businesses generally need to meet certain criteria, including being a for-profit enterprise, operating in the U.S., and having demonstrated a need for the funds without access to other financial options.
What is a Commercial Investment Loan?
A Commercial Investment Loan is a type of financing designed specifically for purchasing or refinancing income-generating commercial real estate, such as apartment buildings, office spaces, retail centers, warehouses, or mixed-use properties. Unlike
residential loans, these loans are typically structured around the income potential of the property itself rather than the borrower’s personal income.
Commercial investment loans usually have different requirements than residential loans, including larger down payments, shorter loan terms, and higher interest rates. Lenders often assess the property’s cash flow and profitability through metrics like the debt service coverage ratio (DSCR), which indicates the property’s ability to generate enough income to cover loan payments. These loans are tailored for real estate investors and business owners aiming to expand their portfolio or secure real estate assets to drive revenue, making them a vital tool for those building wealth through real estate.