A dynamic husband-and-wife Chiropractic team wanted to purchase this beautiful medical office building in central Florida for $1 Million, pictured above. This would give them the facility they dreamed about for their practice and would also allow them to add rental income for additional cash flow. It was a win-win! However, when it comes to loans for medical practices such as theirs, they didn’t appear qualified on paper.
They just weren’t ready for bank financing for a few reasons.
- They had just purchased a few rental properties which were not producing income yet, due to the fact that they were not even built yet. This greatly affected their debt-income ratio which a bank would look on as a big negative when looking at loans for medical practices.
- Their tax returns were not showing sufficient cash flow quite yet, in order to service this additional debt. However, their business bank statements showed they did have sufficient cash flow to substantiate a loan for medical professionals.
We were able to secure them a stated income loan on this medical office building on a 30-year fixed scenario at 80% LTV. Now they can really have the practice they always wanted and add additional services to their already thriving operation!