No, Silver Hill does not finance new construction projects – only rehab projects.

However, if you have a tear-down project, we can write a bridge loan on the existing home to give you time to finalize plans, obtain permits, etc.; you can then refinance into a construction loan with another lender

No, Silver Hill does not lend on mobile homes

However, Silver Hill does finance manufactured homes

A manufactured home is typically eligible for FHA or FNMA financing

Key eligibility requirements include the following:

1. 1. Fee simple, real property
   2. Affixed to a permanent foundation
   3. Built to HUD standards effective as of June 15, 1976 and as evidenced by a HUD tag
   4. Larger than 400 sq. ft. and wider than 12’

If your property is in need of rehab prior to renting, then you will need to secure a Fix-N-Flip loan.  Once your rehab is complete, you can apply to Silver Hill for a Rental loan.

Silver Hill’s maximum loan size is limited to the local FHA loan limit, which is indicative of the most liquid part of the housing market for owner-occupant buyers.  You can check here on the Department of Housing and Urban Development’s website to find your local FHA loan limit

Silver Hill’s minimum loan amount is $50,000 inclusive of a Rehab holdback.

However, in certain higher priced markets, e.g. Los Angeles, Silver Hill will have a higher minimum loan amount.

Please contact your Account Executive to start the Client onboarding process.

Silver Hill requires three key sets of documents to initiate the process:

1. Credit Application – We will need you to complete a brief application which will give us authorization to run a credit (soft-pull) and background check. Your Account Executive can provide you with the application.
2. Entity Legal Documentation – We will also need the legal documentation for your borrowing entity, which includes your Articles of Organization or equivalent, Operating Agreement or By-Laws and Certificate of Good Standing. If you are a HomeVestors franchisee, we will request the legal documentation directly from HomeVestors.
3. Experience / Track Record – We will need your track record highlighting your prior experience. Again, if you are a HomeVestors franchisee, we will request this information directly from HomeVestors.  However, if you have real estate investing experience prior to or outside of HomeVestors, we will need you to provide your track record separately.  Your Account Executive can provide you with a track record form to complete or you can find the form on our website to download.

We generally charge 1-3% either upon origination or upon payoff depending on loan term and timing of payoff.  Please contact your Account Executive for more details.

We charge a $949 Closing Fee, which will cover the cost of a 3^rd party valuation up to $420, and a $250 Doc Prep fee, which covers Silver Hill’s cost to draft loan documents.

You will pay the cost f a 3^rd party valuation soon after loan submission, but the cost, up to $420, will be credited at closing

If you are a Gold client, yes, we require a holdback built into the loan so that we are confident there will be money available to make the necessary repairs.

If you are a Platinum client, you do not need to take a holdback as part of your loan amount.  Additionally, if you are a Platinum Client you can prorate your rehab holdback, e.g. if your approved rehab budget is $50,000, you can take only $25,000 or 50% of the budget; in this case, you would be reimbursed 50% of every dollar approved to be funded as a rehab draw

Yes, we typically limit the rehab budget to no greater than 20% of After-Repaired Value (“ARV”) for Gold clients and 50% of ARV for Platinum clients.

However, we are always able to make exceptions when the project is not complicated and does not involve major structural work.

You only have to pay interest based on the amount drawn for purchase and rehab.

However, you will have to pay points on the entire loan amount, regardless of whether you or not you have fully drawn the rehab holdback.  Said differently, you are paying to have access to the entire loan amount and so might as well draw on it as needed.

Yes, Silver Hill requires a personal guaranty on all of our loans

Silver Hill will run credit on all loan Guarantors once every six months beginning when you are initially on-boarded as a client.

We run a soft-pull credit inquiry, which means it will NOT adversely impact your credit score.

Yes, Platinum clients can take more than 2 loans subject to Silver Hill’s review of their liquidity statements.  In general, Silver Hill will need the two most recent months of bank and/or brokerage statements from the borrowing entity or guarantor.  We will need at liquidity of at least 6 months of interest payments on the fully drawn amount of loans.

We generally limit Gold clients to 2 loans at a time, but can make exceptions in limited circumstances, if for example, one of the 2 outstanding loans is under contract to sell or if you possess large cash reserves

Once Silver Hill has approved you as a Client, we will assign you a Buy-Box, which is effectively a pre-approval for all loan requests that meet the following key criteria:

1. 1. Market / Geography
   2. Maximum Loan Amount
   3. Minimum Loan Amount
   4. Maximum Rehab Budget
   5. Maximum Rehab Budget as a % of ARV

The Buy-Box is based on both your prior experience and the market in which you operate. For example, if you operate in Los Angeles, your maximum loan amount will be higher than if you operated in Wichita.

However, Silver Hill will still typically approve a loan outside of your Buy Box, although we may need to do additional due diligence prior to approval.

Once you are approved as Client, please ask your Account Executive for a proof of funds letter.

The letter will indicate the maximum amount of credit that Silver Hill will extend to your borrowing entity and the geography, i.e. market, in which we will make loans to your entity.

Please allow 24-48 hours to receive after requesting

In addition to the documents related to the Client onboarding process (see “How do I get started?” above), we will need the following information and documents related to the Property.

1. 1. Purchase Contract – the contract must be fully-executed, legally valid and include any and all amendments / addendums
   2. Rehab Budget – You can submit the budget in the form of the property analysis produced by Valuechek or you can complete and submit Silver Hill’s Rehab budget form. Silver Hill will need to review the budget by line item.  Please ask your Account Executive for a copy of the budget form or you can find the form on our website to download.
   3. Photos – We will need photos of the interior and exterior; you can provide us a link to a dropbox or other cloud storage service or we recommend companycam, an app that allows you to easily take and share pictures.
   4. Comps – At least List of comparable transactions, listing address, sale date and sale price.
   5. Business Plan / Exit Strategy – We will need to understand your plans for the property, i.e. fix-n-flip, wholesale, or rehab to rent, and approximate timeline to complete the rehab project
   6. Title / Escrow Contact Info – We will need to have the information to request a title commitment and coordinate loan closing

Once you submit a loan request and the requisite documents, we will review the information within 24 hours.

Assuming that the property meets our requirements and the loan request meets your pre-approved Buy-Box, we will provide you a Conditional Approval on the loan.

The Conditional Approval will be subject to satisfactory completion of title and receipt of adequate insurance (see “What are your insurance requirements?” below).

Additionally, the final loan amount is subject to final review and approval of the Rehab budget and completion of our valuation process.

Your Account Executive will be your primary point of contact during your initial onboarding process and for all of your loan requests.

However, you will likely hear directly from other team members during the process:

1. 1. Our Loan Analyst will request docs and diligence info from you both during the onboarding and loan submission processes. Our loan analyst will also be available to answer any process related questions
   2. Our Rehab Draw Specialist may follow-up with you regarding questions on the Rehab Budget during the loan submission process. Additionally, the Rehab Draw Specialist will work with you on the rehab draw process over the course of the loan and will be in touch with you regarding the status of the project.
   3. Our Closing Coordinator will work with you and your Closing Agent to verify you have the required insurance and to coordinate the closing of the loan.
   4. You may also hear from other team members regarding insurance and title

Silver Hill always requires a 3^rd party valuation due to our investor’s regulatory requirements, but we also always prepare an internal valuation.

We often order desktop appraisals, whereby a third party takes photos that are then sent to a licensed appraiser to complete the appraisal report.

Alternatively, we order appraisals directly from appraisers who visit the properties themselves.

For single-family properties, we typically order a drive-by or an exterior-only appraisal, i.e. no interior inspection needed, if you have previously provided interior photos.

We require interior 3^rd party appraisals on all 2-4 unit properties.

We will require an interior inspection for multi-unit properties.

We also will strongly recommend an interior inspection when a rehab budget is very small or is very large or when the property exhibits unique circumstances or characteristics that are not visible from the exterior or exposed in the public record.

Once we send you a conditional approval for the loan, we will order the 3^rd party valuation. You will then pay the appraiser vendor directly.

If we order through our partners at Accurate Group, you will get a link via email to make the payment. Please check your Spam folder to ensure you don’t miss the payment link which will come from [email protected].

If we order directly from an appraiser that you recommend or is not through Accurate Group, the appraiser will contact you directly to arrange payment

For Platinum Clients, there are instances when Silver Hill does not require a 3^rd party appraisal to size and close the loan, i.e. an Expedited Value

An Expedited Value is available for loans:

1. Where Silver Hill can “easily” comp the property, e.g. it is a single-family home located in a neighborhood with similar housing stock and where there have been multiple recent transactions involving comparable properties
2. Less than $350,000
3. Submitted at less than or equal to 75% of your estimated ARV
4. Fit your “Buy Box”

First and foremost, Silver Hill uses a “common-sense” approach using aerial maps.  If the property is not located in a town or near a city and is surrounded mostly by bucolic fields, it is likely a rural property

If a property is not obviously rural, Silver Hill has five criteria to determine if a property is rural (see below).  If your property meets three of the five criteria, we will deem it as a rural property, which will subject the loan to a lower maximum LTV.

Rural characteristics:

1. Lot Size – > 5 acres
2. Comparable Transactions – 2 of the 3 comparable properties are more than 5-miles from the subject property
3. Zoning – Subject property is zoned agricultural, ranch or equivalent
4. Population Density – Census tract in which the property is located has less than 500 persons per square mile; US Census Tract data can be tracked here
5. Local Jurisdiction – Property located in an unincorporated area

Silver Hill can close a loan in as few as 10 business days if ALL of the information is provided on Day 1 and if all third parties, e.g. title / closing, insurance agent, 3^rd party valuation, respond in a timely basis.

If possible, Silver Hill recommends writing contracts with at least 21 days to close to ensure that all parties have ample time to provide requisite information.

Silver Hill, like most business purpose lenders, requires an insurance policy that treats the property as an investment property vs. an owner-occupied property.  Accordingly, we require a higher general liability policy that reflects the fact you own the property in the name of a business entity and will have contractors and other 3^rd party vendors on site.

Silver Hill has at least two insurance providers who can provide coverage that meets our requirements.

1. Millennial for HVA Franchisee only:
   [email protected]
   877-744-3660
2. JDP Solutions:JDP Insurance Solutions, LLC
   PH: 980-890-8884
   Business hours: Mon-Fri 9am-5pm EST
   [email protected]

When you contact one of these insurance agents, be sure to tell them if you are a HomeVestor franchisee and that you were referred by Silver Hill. Your Account Executive can provide you a copy of Silver Hill insurance requirements.

Silver Hill requires the budget to derive an ARV

If no rehab is required or no budget is provided, Silver Hill will assess the property’s As-Is Value (AIV) and size the loan based on this amount

Projects can often take longer and cost more than originally anticipated.  Accordingly, we require a contingency line item in every rehab budget.

For Light or Moderate rehab projects, we require a contingency of 7.5% of the overall budget with a minimum of $2,500.

For Heavy rehab projects, we require a contingency of 10% of the overall budget with a minimum of $2,500.

Yes, Silver Hill will accept ValueChek produced pdfs in lieu of its preferred budget form

Please ensure the contingency on the ValueChek form is completed correctly – see below

ValueChek includes a contingency based on the age of the property.  However, in our experience, this contingency may not be sufficient and therefore we require the minimum as outlined above

We will include the Age Contingency in the contingency as calculated above, so we do not double-count.

Once you have completed the work related to the amount requested, you can make a draw request to Silver Hill.

Silver Hill requires an inspection to verify that the work has been completed and primarily works with Sitewire.co to provide the inspections.

Sitewire is a 3^rd party service with an App that allows you to submit your own pictures/videos. Alternatively, Silver Hill can arrange a more “traditional” in-person 3^rd party inspection.

Silver Hill does charge for rehab draw requests:  $160 for the virtual inspection provided through Sitewire or as much as $400 for an in-person inspection

Your Account Executive can provide more specifics on the rehab draw process.

When you submit a draw request, please indicate that you would like to draw on the contingency and the reason why.

We are able to advance the contingency up to the same percentage as the overall completion of the project.  So, if for example the contingency is $5,000 and the overall project is 50% complete, we could advance $2,500 against the contingency line item.

If there are no outstanding issues with the draw request, Silver Hill can typically complete the draw process and wire you the amount within 3-5 business days.

Once we receive the 3^rd party inspector’s report, either virtual or physical, Silver Hill will review the report before approving

Once approved, Silver Hill will initiate a wire to the account you provided at loan closing

We fund draws based on percentage completion for each line item.  So, for example, if the flooring line item is $5,000 and you submit a draw for the full amount but we determine the floor is only ½ completed, we will only reimburse $2,500 or 50% of the $5,000 flooring line item

Also, if you are a Platinum Client with a pro-rated rehab holdback, we will only fund rehab draws at the pro-rated basis for each dollar approved; so, for example, if you have a $50,000 approved rehab budget and only a $25,000 rehab holdback, representing a 50% pr-rate budget; we will fund 50 cents for every $1 approved

Please contact [email protected] with any questions on an existing loan

In general, monthly payments are paid in arrears; so, when you make a payment on the 1^st of the month, it is for loan amounts outstanding in the prior month

At loan closing, Silver Hill collects per diem or odd-days interest for the period through the end of the month in which the loan closes; for example, if the loan closes on Sept. 16, 2024, then Silver Hill will collect interest for the period from Sept. 16 through Sept. 30 at closing

Your “regular” monthly payments will begin on the first day of the full month after you closed your loan since you will have pre-paid odd-days interest for the days of the month in which you closed your loan; for example, if you closed our loan on August 15, 2024, your first payment would be October 1, 2024.

When we close your loan, Silver Hill requires you to complete an ACH authorization form that grants us permission to debit your account each month for the monthly loan payment

IMPORTANT:  In order to avoid any late or NSF fees, please ensure that the account has sufficient funds to make the payment each month

You can also call your representative at Silver Hill Capital Loan Servicing to make a payment directly

In order to request  payoff, please send an email to [email protected] with the following information:

1. Borrower name
2. Property address – street address, city, state and zip
3. CLS loan #; Your CLS loan number can be found on your monthly statement OR you can contact your Account Executive for assistance.
4. Estimated (outside) Payoff date
5. Email address to where payoff letter should be sent

Please contact your CLS representative or Account Executive if you would like to request an extension.

Silver Hill can provide a 3-month extension for a fee equal to 1% of the total loan amount.

Ultimately, Silver Hill has full discretion on whether or not to approve the extension request. However, if you have consistently made your payments on timely basis and the property has maintained its originally underwritten value, then Silver Hill will generally approve an extension.

Silver Hill may require an updated valuation prior to approving an extension request.