S & S Funding Underwriting Requirements

Home S & S Funding Underwriting Requirements

In order for SSF to approve a loan request, the following requirements must be met:

  • The loan typically cannot exceed sixty percent (60%) of the estimated value of the property to protect from loss in the event of a borrower default.
  • The loan must be secured by a first lien on the subject property and a personal guarantee from the borrower. In some cases, an additional cross-collaterized property is required.
  • The loan cannot be on the borrower’s personal residence.
  • SSF requires financial participation from borrowers in the acquisition/renovation costs of the subject property
  • The borrower must demonstrate the ability to make the monthly payments by showing a monthly source of income that will be sufficient to cover the loan payments. Generally, the borrower has other property which generates enough revenue to cover monthly payments.

The borrower must submit a viable exit strategy to SSF. As a general rule, the repayment of the loan involves the sale of the property or a traditional refinance following the initial acquisition or renovation of the subject property.