Is Monroe Funding Corp a Sensible Option in the Florida Real Estate Scene?

by HMLS

Monroe Funding Corp is one of the most popular mortgage lenders specializing in real estate loans in Florida. The lender offers services to real estate investors and homeowners and has a good standing in the market. Still, many potential borrowers struggle to find info about their products, even after rummaging through the website.

We have prepared this guide to help you explore your options at Monroe Funding Corp (MFC). You will learn about:

  • The complete range of MFC products and services
  • Pros and cons of working with this lender
  • Other top alternative lender options for properties in Florida and neighboring states

Products and Services Available at Monroe Funding Corp

Monroe Funding Corp primarily offers hard money loans for real estate properties. Hard money loans are asset-based products, meaning that you qualify based on the collateral. Lenders like Monroe Funding Corp do not pay much attention to the borrower’s soft assets, including their credit report or existing bank balance. They typically cater to people who:

  • Cannot qualify for traditional (bank) financing
  • Want funds fast and with minimal paperwork
  • Are waiting to be eligible for bank loans (due to a regulatory restriction)
  • Invest in real estate regularly (wholesale real estate agents, property rehabbers, etc.)

Besides hard money loans, the lender also offers other mortgage products. According to the website, the lender currently provides:

  1. Real estate hard money loans
  2. Conventional mortgages
  3. Small balance commercial real estate loans
  4. Investors support services

Real Estate Hard Money Loans

Monroe Funding Corp services a large volume of hard money loans in the Florida real estate market. These loans are mainly designed to serve property investors, so you must have a deal related to non-owner-occupied real estate. You can use the group’s hard money loans for:

  • Purchasing—Borrowers can directly go to MFC and secure funds to purchase or bid on a property. The lender only funds properties if they can hold the first position lien
  • Refinancing—The group offers refinance loans for settling the existing mortgage on a property. The client gets a new mortgage with Monroe Funding Corp and repays it according to the fresh interest rates and terms set by the lender. We were unable to verify if the group offers cash-out refinance programs for repairs and upgrades

Source: RODNAE Productions

Your eligibility for MFC loans depends on the property’s profitability. If you qualify, the lender carries out a streamlined underwriting process and funds you within 7–14 days. In most cases, you have to provide a personal guarantee for the loan.

The group doesn’t display details on their products on the website, so we’ve used alternative channels to collect the info. Check out the common terms of the lender’s hard money loans:

ItemMonroe Funding Corp
Amount$50,000—$1,000,000
Qualifying property Single-family home
2–4-unit home
Apartment building
Commercial unit
*Properties in Central and South Florida are preferred
Interest rates12%–15%
Tenure1–24 months
*Rental property owners can go for endlessly extendable loans
Loan-to-value (LTV) ratioUp to 75%
Origination fees1%–2%
Repayment structureInterest only, principal repaid after maturity
Prepayment penalty1% if repaid within a year
Borrower typeIndividuals, LLCs, and companies

Know that these figures can vary—contact the lender to get the latest loan structure details.

Conventional Mortgages

A conventional mortgage can be used to finance homes the traditional way—you need to have a minimum credit score, stable debt-to-income (DTI) ratio, and verifiable income stream to qualify.

Monroe Funding Group claims to offer short-term and long-term conventional mortgages tailored to an investor’s needs. Details about the down payment, security, and interest rates are not shared on the website.

Borrowers in Florida typically require a minimum credit score of 680 for conventional home purchase loans, although the limit may be higher if you’re dealing with investment or commercial real estate. Private lenders tend to charge higher interest rates than the prime rates offered by traditional lenders.

Small Balance Commercial Real Estate Loans

Small Balance commercial real estate (CRE) loans are designed to finance property purchases or refinances for a relatively small amount, usually between $500,000 and $2.5 million. These loans have a more lenient underwriting process than regular CRE loans.

Monroe Funding Corp provides asset-based small balance commercial loans at minimal FICO score requirements. Refer to the following table for more details:

ItemMonroe Funding Corp
Borrowing intentInvestment
Qualifying property Single-family home
Multi-family home
Warehouse
Office
Retail store
Self-storage building
Auto repair shop
Tenure3-year or 30-year fixed (amortized over 30 years)

The group’s small balance CRE loans are suitable for self-employed individuals, small business owners, and foreign national investors as the documentation requirement is minimal.

Investor Support Services

Monroe Funding Corp offers several services that make investing in Florida real estate simpler. For example, you can ask the group for proof of funds or a written approval letter to back you up in the bidding process. You can also request access to the lender’s multiple listing service (MLS) database at a flat fee.

Application Process at Monroe Funding Corp

You can apply for a Monroe Funding Corp loan online—all you need to do is:

  1. Go to the lender’s homepage
  2. Click on the APPLY NOW! button towards the left
  3. Fill out the details and submit

Source: Monroe Funding Corp

The short online application form is a way to express your interest in the product. You will have to wait for the representative to contact you and provide further details. The group is backed by knowledgeable lenders—communicate your needs to them to get a quick response.

Monroe Funding Corp—Pros and Cons

Monroe Funding Corp is undoubtedly one of the finest hard money lenders in Florida, but the group may not be the perfect choice in every real estate scenario. Let’s take a quick look at MFC’s pros and cons.

Pros—Why Is Working With MFC Beneficial

Some of the best aspects of Monroe Funding Corp include:

  • Excellent customer service—MFC has great customer reviews. It holds a 5-star rating on Google, raising the bar for other lenders in the state. The positive reviews are mostly about the lender’s easy-to-acquire hard money products for investors
  • Flexible lending—Unlike banks, this lender is flexible with eligibility requirements and loan terms
  • Quick processing—MFC funds qualifying deals within a week (on average), which is beneficial in the fast-moving Florida property market
  • Minimal restraints—The company offers funding to anyone with a profitable deal, regardless of credit health, nationality, and employment status

Cons—When To Avoid MFC

Here are some drawbacks of Monroe Funding Corp that you may consider in your decision-making process:

  • Limited loan options—The group mainly works for property investors, and having a profitable deal is a given. Even its conventional mortgage programs are more suitable for investors. If you have an emergency situation and want to leverage your home equity for funds, MFC may not be the right choice. The group also lacks bridging solutions
  • Pricey—MFC’s rates start from 12%, which is a bit pricey in the Florida market. You can find other 5-star lenders in the state offering interest rates of around 10%, saving you a lot in monthly payments. The heavy prepayment penalty at MFC also binds you to the loan despite having better options
  • Limited geographical availability—MFC loans are available only in certain counties in Florida, most of them being investment hotspots. If your property is not in the right area, you can be denied the loan

When it comes to making a choice between lenders, the best way to go is to compare them in terms of service quality, interest rates, and suitability for your specific situation. If you’re looking for reasonably priced hard money loans in the Florida scene, you can go for Hard Money Loan Solutions (HMLS). The lender is headquartered in Delray Beach, Florida, and offers fast and seamless financing for real estate investors, homeowners, commercial dealers, and business professionals.

Shopping for Better Rates? Hard Money Loan Solutions Has the Best Deals!

Hard Money Loan Solutions (also rated 5 stars on Google) is a group of veteran lending professionals and entrepreneurs from Florida who understand the dynamics of the local real estate market inside and out. The HMLS team has decades of experience and a steady supply of funds to finance big and small real estate projects. The group can fund deals within 3–14 days at interest rates between 9.99% and 12%—these are the most competitive terms in the market.

HMLS loans are tailored on a case-by-case basis, allowing the lending team full flexibility to set up a package that works with your repayment strategy. The final loan will be within the following parameters:

ComponentHMLS Funding
Principal$100,000 to $50,000,000+
Eligible property Single- or multi-unit home
Condo
Apartment
Townhouse
Business or retail unit
Commercial building or warehouse
Special-purpose structure
Land
(Self-occupied and mixed-use properties are also eligible)
Interest typeFixed
Term1–3 years
Installment typeInterest only (no amortization)
LTV offeredUp to 70% of the lower of:
1. As-in value
2. Purchase price (as applicable)
Down paymentNot required
Origination fee2 points or 2%
Prepayment penaltyNone (if repaid after six months)
Borrower profile Individuals (including foreign nationals)
LLCs and companies
Loan type Purchase
Bridge financing
Rehab financing
Real estate acquisition
Construction and reconstruction
Short selling
Real estate owned (REO) dealings
Bank foreclosure management
Refinance
Cash-out refinance
Business funding

Reach out to HMLS and get a free consultancy on what hard money packages would best fit your situation!

Source: Google Reviews

Why HMLS Leads the Lending Landscape for Florida Real Estate

HMLS lenders aim to make hard money loans accessible to everyone, even first-time property buyers. The professional team stays by the customer’s side every step of the way, guiding them and providing them with functional assistance as needed. The lender’s prime customer-focused features include:

  • No-fuss eligibility—HMLS lenders rely on the collateral to determine your eligibility for a loan. Come with poor credit scores or other financial setbacks, and you can still get a loan. HMLS is open to complicated lending scenarios as well, such as the collateralization of more than one property for a single deal
  • Quick funding process—If you need emergency funds or approval letters, HMLS will come through. You can get approved within a day and have the funds in your account within the next three days
  • Wide area coverage—HMLS lends all across Florida, regardless of the popularity of the market. As long as the collateral is solid, you can get the loan. You can check out the cities served here
  • No personal guarantee (non-recourse)—Hard money loans are ideally only backed by the collateral. In case a borrower defaults on the loan, HMLS will only take over the secured asset. Your personal property stays safe
  • Almost no paperwork—HMLS requires minimal paperwork related to the property, enabling a stress-free processing cycle

The group values transparency and provides detailed info about their service on the website, including:

Another benefit of working with HMLS is that there are no junk (or hidden) fees, such as upfront, inspection, processing, underwriting, and digital retention fees, that typically cost several thousands of dollars.

Get Approved Within a Day—Apply Online and Save Time

Most hard money lenders make deals over the phone, and since they handle several properties daily, the initial processing can be chaotic. HMLS saves your time by introducing a simple and streamlined online application structure. Here’s how you proceed:

  1. Visit the HMLS loan application page
  2. Provide details about your property (you can also add a picture of the real estate—your info is never leaked or pawned to other lenders)
  3. Add a comment specific to your case and submit

Since you enter your property details online, the lender does a mini-analysis before calling you. That way, the discussions are to the point, and the deal can move rapidly. The HMLS team communicates with precision and keeps the borrower in the loop throughout the processing period.

Source: Sora Shimazaki

If you’re in the research phase, you may want to read some more reviews. Here’s a list of the private lenders relevant to you:

Featured image source: Christina

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