203K Streamline Loan - Rehab Program Overview The 203(k) streamline loan program offers borrowers the resources to rehabilitate a home that may be in need of repair, either the home that they currently live in, or that special fixer-upper opportunity, without the extra cost or details as found in the regular 203k. One single loan is used to pay for the purchase (or refinance) and the cost of renovating the home. Made available to certain lenders by the U.S. Department of Housing and Urban Development (HUD), the FHA 203(k) streamline program has already provided many buyers with the funds necessary to buy their first home, or greatly improve a current home. The FHA 203(k) streamline loan is available to borrowers of all income levels, to homeowners who plan to occupy the house, and for homes with one to four units. 203K Streamline Eligible Borrowers: Owner Occupants - Purchase - Refinance Non- Profits Investors NOT allowed Types of 203K Streamline Loans: 30 or 15 year fixed rates One year ARMS Eligible Properties: Single family dwellings Condominium Townhouse Mixed Use (Storefront) 1-4 Unit buildings- you can increase or decrease the number of units with this loan. What improvements are eligible under the new Streamlined (k) program? The Streamlined (k) program is intended to facilitate uncomplicated rehabilitation and/or improvements to a home for which plans, consultants, engineers and/or architects are not required. The Streamlined (k) program includes the discretionary improvements and/or repairs shown below: · Repair/Replacement of roofs, gutters and downspouts · Repair/Replacement/upgrade of existing HVAC systems · Repair/Replacement/upgrade of plumbing and electrical systems · Repair/Replacement of flooring · Minor remodeling, such as kitchens, which does not involve structural repairs · Painting, both exterior and interior · Weatherization, including storm windows and doors, insulation, weather stripping, etc. · Purchase and installation of appliances, including free-standing ranges, refrigerators, washers/dryers, dishwashers and microwave ovens · Accessibility improvements for persons with disabilities · Lead-based paint stabilization or abatement of lead-based paint hazards · Repair/replace/add exterior decks, patios, porches · Basement finishing and remodeling, which does not involve structural repairs · Basement waterproofing · Window and door replacements and exterior wall re-siding · Septic system and/or well repair or replacement What items remain ineligible for the Streamlined (k) program? Properties that require the following work items are not eligible for financing under the Streamlined (k): · Major rehabilitation or major remodeling, such as the relocation of a load-bearing wall; · New construction (including room additions); · Repair of structural damage; · Repairs requiring detailed drawings or architectural exhibits; · Landscaping or similar site amenity improvements; · Any repair or improvement requiring a work schedule longer than six (6) months; or · Rehabilitation activities that require more than two (2) payments per specialized contractor. Mortgagors may not use the Streamlined (k) program to finance any required repairs arising from the appraisal that do not appear on the list of Streamlined (k) Eligible Work Items or that would: · Necessitate a “consultant” to develop a “Specification of Repairs/Work Write-Up”; · Require plans or architectural exhibits; · Require a plan reviewer; · Require more than six months to complete; · Result in work not starting within 30 days after loan closing; or · Cause the mortgagor to be displaced from the property for more than 30 days during the time the rehabilitation work is being conducted. (FHA anticipates that, in a typical case, the mortgagor would be able to occupy the property after mortgage loan closing). What are the minimum and maximum amounts for repair costs under this program? Given the need for homeowners to make minor repairs without exhausting personal savings, and in consideration of the increasing cost of materials, the minimum repair cost of $5,000 is eliminated and the ceiling is now raised to $35,000. This no minimum is different than the regular 203k. This revised maximum repair/rehabilitation amount recognizes the cost of making older homes more energy efficient. Note that as described below, when the repairs exceed $15,000, the mortgagee must perform or obtain an inspection to determine that all listed repairs were completed. Can this program be used for repairs and improvements on purchases of HUD Homes? Like the regular Section 203(k) program, Streamlined (k) may be used for single-family housing sold by HUD. REO properties that have been designated by FHA’s Management and Marketing contractor (M&M) as “insurable” with repair escrow ($5,000 or less in required repairs) or “uninsurable” (with more than $5,000 but no more than $35,000 in required repairs) are eligible for the Streamlined (k) program provided that the repairs qualify as eligible work items outlined under eligible improvements above. What if the REO property requires lead-based paint stabilization? The Streamlined (k) program may be used for the financing of REO purchases where a pre-1978 property has been determined to contain lead-based paint and the M&M Contractor has completed a stabilization plan and cost estimate to stabilize (mitigate) the deteriorated paint. The purchaser must sign a 203(k) rehabilitation financing lead agreement requiring that a clearance examination and report be included in the work write-up and conducted before release of the final construction disbursement and before occupancy. The credit from HUD, received at sales closing by the purchaser, associated with the lead-based paint stabilization plan is not included in the $35,000 Streamlined (k) limit. The Streamlined (k) program may be used for all eligible repair items as shown above, including the cost of lead-based paint stabilization not paid for by HUD when it sells a property requiring lead-based paint stabilization. A state- or Environmental Protection Agency (EPA) certified lead-based paint inspector, certified risk assessor or sampling technician, must perform the clearance examination. When the HUD sells a single-family REO property, the M&M Contractor determines whether repairs are necessary to stabilize any lead-based paint. HUD’s regulations for pre-1978 housing require the stabilization of paint except for paint determined not to be lead-based paint. HUD may reduce the sales price by the amount of a credit equal to the its contribution toward the cost of lead-based paint stabilization. Any lead-based paint stabilization costs in excess of this credit become the responsibility of the purchaser. Can the Streamlined (k) program be used for refinancing the mortgage? The Streamlined (k) program is also available for mortgage refinance transactions including those where the property is owned free-and clear. Only credit-qualifying “no cash out” refinance transactions with an appraisal are eligible for the Streamlined (k) program. If the borrower has owned the property for less than a year, the acquisition cost must be used to determine the maximum mortgage amount. What are the appraisal requirements under the Streamlined (k) program? The Streamlined (k) program may be used for discretionary repairs and/or improvements that may not have been identified in the course of a pre-purchase inspection or appraisal. The mortgagee must provide the appraiser with information regarding the proposed rehabilitation or improvements and all cost estimates so that an after-improved value can be estimated. A description of the proposed repairs and/or improvement must be included in the appraisal report as well as the contractor’s cost estimate. The appraiser is to indicate in the reconciliation section of the appraisal report an after-improved value subject to completion of the proposed repairs and/or improvements. What are the mortgagee’s requirements for examining the contractor bids? For paying the contractor prior to beginning construction? For inspections of the work? · Contractor bids: While Lenders are not contractors, participation in this program requires that they examine the contractor’s bid(s) and determine that they fall within the usual and customary range for similar work. Lenders must also ensure that the selected contractor(s) meet all jurisdictional licensing and bonding requirements. · Payments in advance of construction: The Lender—at its discretion—may provide the contractor with up to 50 percent of the estimated cost of any work item prior to beginning construction. Such payments should only be made where the Lender is satisfied with the reputation of the contractor(s) and the contractor is not willing or able to defer receipt of payment until completion of the work or the payment represents the cost of materials incurred prior to construction. · Payments for Inspections: o For repair costs not exceeding $15,000, the Lender is not required to perform, or have others perform, inspections of the completed work. However, the Lender may choose to obtain or perform inspections if it believes such actions are necessary for program compliance and/or risk mitigation. Lenders may also ensure that the repairs and/or improvements have been completed by obtaining contractor’s receipts or by a signed Mortgagor’s Letter of Completion. If the Lender determines that an inspection(s) by a third party is necessary to ensure proper completion of the proposed repair or improvement item, the Lender may charge the borrower for the costs of no more than two inspections per each contractor. o For repairs in excess of $15,000, the Lender must perform or obtain an inspection of the completed work by a third party. HUD FHA 203k loan rehab program 203K - Rehab Program Overview 203K - How the Program Can Be Used - Read 203K - Eligible Property: - Read 203-k - Questions & Answers - Read Search for a 203-k Consultant What are the mortgagor’s requirements for selecting the contractor? And what are the mortgagee’s requirements for review of the contractor and the rehabilitation proposal? The mortgagor must use one or more contractors to complete the repairs. “Self-help” arrangements, in which the mortgagor performs the work, are not to be approved unless the mortgagor can sufficiently demonstrate that he or she has the necessary expertise and experience to perform the work competently (e.g., mortgagor is an electrician and will perform electrical repairs/upgrades to the property). The mortgagor will select the contractor(s) who will provide estimates for work to be done. The Lender reviews the mortgagor’s proposed work plan and cost estimates to ensure the planned work meets all program and repair recommendations as noted on the appraisal report. The mortgagor must provide the Lender with a written cost estimate(s) and references from a duly licensed and bonded contractor(s) for each specialized repair or improvement. If “self-help” arrangements are utilized, the mortgagor must provide written estimates from the suppliers of the materials. Those repairs and improvements must meet any local codes and ordinances and the mortgagor and/or contractor must obtain all required permits prior to the commencement of work. The cost estimate(s) must clearly state the nature and type of repair and the cost for completion of the work item and must be made even if the mortgagor is performing some or all of the work under a self-help arrangement. The Lender must review the contractor’s credentials, work experience and client references and may require the mortgagor to provide additional cost estimates if necessary. After review, the selected contractor(s) must agree in writing to complete the work for the amount of the cost estimate and within the allotted time frame. A copy of the contractor’s cost estimate(s) and the Homeowner/Contractor Agreement(s) must be placed in the insuring binder. The contractor must finish the work in accordance with the written estimate and Homeowner/Contractor Agreement and any approved change order. As in the regular 203(k) program, the Rehabilitation Construction Period begins when the mortgage loan is closed. What are the mortgagee’s requirements for paying contractors? No more than two payments may be made to each contractor, or to the mortgagor if the mortgagor is performing the work under a self-help arrangement. The first payment is intended to defray material costs and shall not be more than 50% of the estimated costs of all repairs/improvements. When permits are required, those fees may be reimbursed to the contractor at closing. The final payment to the contractor will be made following completion of all work and release of any and all liens arising out of the contract or submission of receipts or other evidence of payment covering all subcontractors or suppliers who could file a legal claim. When necessary, the Lender may arrange a payment schedule, not to exceed two (2) releases, per specialized contractor (an initial release plus a final release.) Lender are to issue payments solely to the contractor, except if the mortgagor is performing the work under a self-help arrangement, in which case the mortgagor may be reimbursed for materials purchased in accordance with the previously obtained estimates; the mortgagor may not be compensated for his or her labor. To eliminate the need and cost for an inspection of the completed repair(s) or improvement(s) when not exceeding $15,000, the Lender may accept receipts or proof of completion of the work to the homeowner’s satisfaction from the contractor. Before a final release is made, the mortgagor must sign a statement acknowledging that the work has been completed in a professional and satisfactory manner. May the mortgagee establish a Contingency Reserve? The Streamlined (k) program does not mandate a contingency reserve be established. However, at the Lender’s discretion a contingency reserve account may be set up for administering the loan. Funds held back in contingency reserve must be used solely to pay for the proposed repairs or improvements and any unforeseen items related to these repair items. Any unspent funds remaining after the final work item payment(s) is made, must be applied to the mortgage principal. Can we combine the Streamlined (k) with an Energy Efficient Mortgage (EEM)? The EEM program, may be used in conjunction with the Streamlined (k) program. The amounts permissible under the EEM program—as well as the qualifying requirements—are in addition to those available under the Streamlined (k) program and, thus, combined may exceed the $35,000 Streamlined (k) repair cost limit. Both the cost of EEM improvements as well as weatherization items (not to exceed $2,000) may be added to the total FHA loan amount.

The Federal Housing Administration (FHA), which is part of the Department of Housing and Urban Development (HUD), administers various single family mortgage insurance programs. These programs operate through FHA-approved lending institutions which submit applications to have the property appraised and have the buyer's credit approved. These lenders fund the mortgage loans which the Department insures. HUD does not make direct loans to help people buy homes. The FHA 203k loan program is the Department's primary program for the rehabilitation and repair of single family properties. Basically a home improvement loan. As such, it is an important tool for community and neighborhood revitalization and for expanding homeownership opportunities. Since these are the primary goals of HUD, the Department believes that FHA 203k loan is an important program and they intend to continue to strongly support the program and the lenders that participate in it. Lenders have successfully used the FHA 203k loan program in partnership with state and local housing agencies and nonprofit organizations to rehabilitate properties. These lenders, along with state and local government agencies, have found ways to combine the FHA 203k loan with other financial resources, such as HUD's HOME, HOPE, and Community Development Block Grant Programs, to assist borrowers. Several state housing finance agencies have designed programs, specifically for use with FHA 203k loan and some lenders have also used the expertise of local housing agencies and nonprofit organizations to help manage the rehabilitation processing. FHA 203K Loan - How the Program Can Be Used: This program can be used to accomplish rehabilitation and/or improvement of an existing one-to-four unit dwelling in one of three ways: · To purchase a dwelling and the land on which the dwelling is located and rehabilitate it. · To purchase a dwelling on another site, move it onto a new foundation on the mortgaged property and rehabilitate it. · To refinance existing indebtedness and rehabilitate a dwelling; To purchase a dwelling and the land on which the dwelling is located and rehabilitate it, and to refinance existing indebtedness and rehabilitate such a dwelling, the mortgage must be a first lien on the property and the loan proceeds (other than rehabilitation funds) must be available before the rehabilitation begins. To purchase a dwelling on another site, move it onto a new foundation and rehabilitate it, the mortgage must be a first lien on the property; however, loan proceeds for the moving of the house cannot be made available until the unit is attached to the new foundation.

ASSISTED LIVING / SKILLED NURSING ACQUISITION OR REFINANCE*

* 85% Loan-to-Value (*No Cash-Out Refinance)

* 35 Year Amortization

* 35 Year Term (no balloon)

* No maximum loan amount

* Low, fixed interest rate, based on market spreads over the Ten-Year Treasury Yield

* No personal liability (non-recourse)

* Negotiable pre-payment terms

* 1:18 Minimum Debt Service Coverage

* This loan is always assumable.

* Third-party expenses and loan costs are able to be financed.

__________________________________________________ Rates and Terms determined by LTV, credit, property type and other

conditions. This is limited information and meant for general reference purposes. For detailed information or a specific quote on a project, give us a call at 1-317-348-0732

Assisted Living / Skilled Nursing

New Construction / Substantial Rehabilitation

* 90% Loan-to-Cost

* Interest-only construction loan that automatically converts to a 40-year permanent financing

* 40-Year Amortization

* 40-Year Term (no balloon)

* No maximum loan amount

* Low, fixed interest rate, based on market spreads over the Ten-Year Treasury Yield

* No personal liability (non-recourse)

* Negotiable pre-payment terms

* 1:10 Minimum Debt Service Coverage

* This loan is always assumable

* Third-party expenses and loan costs are able to be financed.

Rates and Terms determined by LTV, credit, property type and otherconditions. This is limited information and meant for generalreference purposes. For detailed information or a specific quote on a project, give us a call at 1-317-348-0732

6.9% Fixed Rate*

• That’s fixed during the construction period! You pay interest only during construction!

• That’s fixed for 5 years AFTER the construction period.

• Lock in today’s rates for tomorrow – no re-pricing at C.O.

• 30 Year amortization keeps the payment low.

• No Pre-Payment Penalty / No Guarantors – This is flat out the best construction loan on the planet.

Property Types: Sanctuaries, Schools, Expansion

Loan Proceeds: Acquisition, Refinance, Construction, Cash-Out

Trustee Guarantees: None

Size: $400,000 - $20 million

Fast Close: 45-60 days

Cash Flow Multiple: 3-4x Unrestricted Contributions

LTV: 66% - 80%

Term: 25-40 Years; Open-Ended for additional borrowings

Interest: Fixed Rate @ 190-220 over

Treasuries Prepayment: No Penalty

Construction Bonds: None required for qualifying projects

Our underwriters are professionally trained to keep the interest of the church a priority. They are experienced in working with churches of all sizes. Thus, they can fund loans for any denominations anywhere in the country! So please call one of our underwriters today at 1-317-348-0732 * due to the changing markets rates are subject to change without notice.

COMMERCIAL FINANCING FOR BUSINESS & INDUSTRY

SBA Loans Loan Amounts from $250,000 to $5,000,000

Loans are available for NEW and EXISTING businesses: Repayment terms up to 30 years As high as 90% financing Competitive rates Some balloon payments or call provisions

You can benefit from FULLY AMORTIZED FINANCING for: Purchasing a business Expanding a business Purchasing equipment or inventory Refinancing and debt consolidation Purchase or refinance of owner-occupied commercial real estate

We have programs specifically designed for:

Assisted Living Facilities, Child Care Facilities, Franchise Purchases, Funeral Homes, Grocery and Convenience Stores, Hotels, Manufacturing, Medical Offices, Start-up Businesses and many more!

Referral fees are paid! please contact loans@fairydustlending.com or 317-348-0732

* $ 10 Million to UNLIMITED!

* International as well

* Terms and structure will vary by deal

* Tier 1 & Tier 2 Developers Only

* All properties and projects considered, but the deal MUST be strong.

* No daisy chains accepted

* Must have access to the principals

Please keep in mind that there are more deals needing money than money to lend so only the better deals get funded. To find out if we can help you, just call us at: 1-317-348-0732. It costs nothing to see if we can help you! Call us today at:1-317-348-0732

Equipment Leasing

Why Lease?: 100% Financing Available (generally just 1st and last month’s payment is required)

Fixed Payments to match your cash flow

Leases offer lower monthly payments than traditional loans

Loan Amounts: $10,000 to $30,000,000

Loan Terms: Terms up to 7 years depending on the equipment & overall strength of the deal

Leasing Entities: Any commercial entity – company, organization or association

Must be in business for 2 years or more What can be included

in the lease?: Soft costs, installation, labor and sales tax can be included

Our underwriters are professionally trained to keep the interest of the professional a priority. They are experienced in working with borrowers of all sizes. Thus, they can fund leases anywhere in the country! So please call one of our leasing specialists today at 1-317-348-0732

* $ 2Million to $ 25 Million or more! * 1to 3 Year Terms * Good exit strategies are critical * QUICK CLOSINGS * LOW OR NO DUE DILIGENCE FEES! * No daisy chains accepted ________________________________________________________________________________________________________________________ This is the real money. Please keep in mind that there are more deals needing money than money to lend so only the better deals get funded. To find out if we can help you, just call us at 1-317-348-0732

Start-up, Business Acquisition, Construction / Perm

Loan Amounts: $250,000 to $2,000,000

Cash Injection: 15% for Flags in good standing, 20% for others. Start-ups and inexperienced management may require up to 30%.

Experience: Full service requires full service experience. On-site management by >20% owner.

Collateral: 80% of total Project must be for real estate or construction.

Repayment Ability: Based on historic cash flow of the business.

Minimum debt service coverage = 1.25x for last 2 years plus interim.

Expansion loans available for businesses with increasing trends. Start-up projected coverage 1.25x within 1 year.

Loan Terms: Term up to 25 years. Fully amortized (no balloon). 3yr (5-3-1) prepayment penalty.

Interest Rates: Dependent upon strength of business.

Personal Guaranty: SBA requires from all 20% or more owners.

Our underwriters are professionally trained to keep the interest of the professional a priority. They are experienced in working with borrowers of all sizes. Thus, they can fund loans anywhere in the country! So please call one of our underwriters today at: 317-348-0732

LOAN LIMITS $100,000 – $3,000,000 PROPERTY TYPES Automobile Dealerships Automotive Service and Repair Assisted Living Facilities Grocery Stores and Markets Educational / Day Care Car Wash (Full Service and Coin Op) Funeral Homes Restaurants Bowling Alleys Properties with excess land RV Parks

LOAN TYPES Purchase Refinance Cash Out Refinance

MAX LTV 90% Owner Occupied Purchases (SBA 504) 65% Purchase (Non-SBA, up to 90% CLTV) 65% Refinance / 60% Refinance Cash-out

LOAN TERMS 25 years fully amortized 20 years fully amortized 15 years fully amortized MIN FICO 650 AVAILABLE PROGRAMS 5 YR Fixed SBA 504 Adjustable Conversion THE Commercial Capital Ltd. DIFFERENCE No Balloon Payment Broker or referral source 100% protected Flexible Underwriting No Lender Points Quick Closings Simple Documentation Rate locks available at no cost

Use of Loan Proceeds: Practice start-up or purchase / Expansion, partner buy-out / Real estate or leasehold Can include equipment, furniture, working capital.

Loan Amounts: $250,000 to $2,000,000

Cash/Equity Injection: 10% of total project costs.

Experience: Proper license and 2 years direct experience in the industry.

Loan Terms: Term up to 25 years. Fully amortized (no balloon).

Interest Rates: Dependent upon strength of practice Rates from P+1.25% - 2.5% variable

Collateral: No minimum for Start-ups up to $500,000 No minimum for Acquisitions to $1,000,000

Personal Guaranty: SBA requires from all 20% or more owners.

Life Insurance: Key man life insurance may be required

Our underwriters are professionally trained to keep the interest of the professional a priority. They are experienced in working with borrowers of all sizes. Thus, they can fund loans anywhere in the country! So please call one of our underwriters today at 317-348-0732

* 85% Loan-to-Value (80% with Cash-out Refinance)

* 35 Year Amortization

* 35 Year Term (no balloon)

* 7.5% Seller promissory note allowed for down payment requirements – (For Acquisition only)

* No maximum loan amount

* Low, fixed interest rate, based on market spreads over the Ten-Year Treasury Yield

* No personal liability (non-recourse)

* Negotiable pre-payment terms

* 1:18 Minimum Debt Service Coverage

* This loan is always assumable.

* Third-party expenses and loan costs are able to be financed For current offer as there subject to change please contact 317-348-0732 or loans@fairydustlending.com

Multi-Family Financing We specialize in working with Realtors, referral fees available (Up to $15,000)!

Our rates smoke the banks – call for quotes!

New Construction / Substantial Rehabilitation * 90% Loan-to-Cost * 40 Year amortization * 40 Year Term (no balloon) * No maximum loan amount * Low, fixed interest rate, based on market spreads over the Ten Year Treasury yield.

* “Developer’s Fee” of 10% of cost allowed to be used towards equity requirement * No personal liability (non-recourse)

* Negotiable pre-payment terms

* 1:10 Minimum Debt Service Coverage

* This loan is always assumable. Third-party expenses and loan costs are able to be financed

Rates and Terms determined by LTV, credit, property type and other

conditions. This is limited information and meant for general reference purposes. please call 317-348-0732 or loans@fairydustlending.com

Commercial Real Estate Financing

Use of Loan Proceeds: Existing Business, Owner Occupied; no investors

General purpose commercial real estate

No ground leases.

Single loan closing on construction.

Loan Amounts: $250,000 to $2,000,000

Special programs to $2,500,000 Cash/Equity Injection: 10% of Total Project Costs. 15% for restaurants.

Total Project Costs can include moving expense, equipment, furniture, working capital, refinance of business debt, etc

Loan Terms: Term up to 25 years. Fully amortized (no balloon).

Interest Rates: Dependent upon strength of business. Rates from P+1.25% - 2.5% variable

Repayment Ability: Based on historic cash flow of the business.

Minimum Debt Service Coverage= 1.15x for last yr + interim. For restaurants, chiropractors: DSC=1.35x for last yr+interim Expansion loans for medical practices with increasing trends.

Collateral: LTV can be over 100%

Personal Guaranty: SBA requires from all 20% or more owners.

Our underwriters are professionally trained to keep the interest of the professional a priority. They are experienced in working with borrowers of all sizes. Thus, they can fund loans anywhere in the country! So please call one of our underwriters today at 317-348-0732