Our Lending Process – Montgomery Lending, LLC

At Montgomery Lending, LLC, we specialize in securing tailored commercial real estate financing for investors, developers, and business owners.

Whether you're purchasing an office building, retail center, multifamily property, or hotel, our streamlined process ensures transparency, efficiency, and optimal financing solutions from initial consultation to closing.

Below, we outline each step, so you know exactly what to expect when partnering with us.

 
📞 1. Initial Consultation – Let's Talk Financing

Your journey begins when you contact us via phone, email, or our online form.

✅ Discuss your commercial real estate goals – Whether you’re acquiring, refinancing, or developing property.

✅ Property & loan assessment – We analyze deal size, asset type, and financing needs.

✅ No-obligation consultation – Get insights on loan programs, lender networks, and market trends.

📌 You’ll learn how we leverage our extensive lender network to secure the best financing terms for your investment.

📩 Schedule your consultation today!

 
📑 2. Needs Assessment & Document Collection

We take a deep dive into your financing requirements, reviewing property details, financials, and loan preferences.

✅ Loan Program Match – Fixed-rate, bridge, SBA loans, CMBS, or private funding options.

✅ Document Collection – Financial statements, property appraisals, rent rolls, business plans.

✅ Broker Agreement Execution – Once you select Montgomery Lending as your CRE broker, we formalize a transparent broker agreement, outlining services before initiating lender discussions.

📌 We provide a streamlined checklist to simplify document collection.

🔎 Our team identifies suitable financing options from our lender network.

 
📑 3. Debt Advisory Report – Financing Optimization

We prepare a comprehensive Debt Advisory Report, analyzing your current loan portfolio, DSCR, payment terms, and refinancing options.

✅ Debt Restructuring Strategies – Whether you need SBA 504, CMBS, bridge loans, or private capital, we structure a cost-effective financing plan.

✅ Market Positioning Insights – Understand how interest rate trends, property valuations, and cap rates affect your financing decisions.

✅ Lender Recommendations – We match you with lenders best suited for your loan request and financial profile.

📊 Secure your Free Debt Advisory Report today and optimize your financing!

 
💎 4. Offering Memorandum (OM) Creation for Lenders

We create a professional, lender-ready Offering Memorandum (OM) designed to showcase your investment opportunity in the best possible light.

✅ Detailed Property Overview – Location, asset type, financial performance, and valuation.

✅ Market & Economic Analysis – Occupancy rates, RevPAR, comparable sales, and lending trends.

✅ Financial Metrics & Loan Structuring – DSCR, NOI, loan amount, LTV, and projected returns.

✅ Borrower Profile & Experience – Creditworthiness, liquidity analysis, and operational success.

📌 A well-prepared OM ensures lenders see the full value and security in funding your deal.

🔎 Present your deal with confidence—Let us create your lender-ready Offering Memorandum!

 
📜 5. Term Sheet Review & Lender Negotiations

Once lenders issue term sheets, we conduct a detailed comparison and negotiation process to secure the most favorable financing.

✅ Compare Loan Offers – Interest rates, repayment structures, DSCR requirements.

✅ Negotiate Favorable Terms – Ensuring flexible prepayment options, lower costs, and optimal amortization schedules.

✅ Final Loan Structuring – Aligning financing with your long-term investment strategy.

📌 Get expert Term Sheet Analysis today to ensure you maximize lender incentives and minimize financing risks.

 

📜 **5A. Commitment Letter Issuance & Review**

Once the final loan structure is agreed upon, the lender issues a formal **Commitment Letter**, outlining the approved financing terms and closing conditions.

✅ **Loan Approval Confirmation** – The lender formally commits to providing funds under specified terms.  

✅ **Binding Terms** – Loan amount, interest rate, repayment structure, collateral, and lender conditions.  

✅ **Conditions Precedent** – Requirements the borrower must fulfill before closing (e.g., insurance, title review).  

✅ **Expiration & Fees** – Review deadlines and any associated commitment or processing fees.  

✅ **Borrower Acceptance** – The borrower signs to acknowledge and proceed toward closing.  

📌 The **Commitment Letter** ensures transparency and establishes binding financing terms before finalizing loan agreements.  

🔐 Good Faith Deposit – What It Is & Bank Requirements

As part of securing financing, most lenders require a Good Faith Deposit to demonstrate the borrower’s commitment to proceeding with the loan.

This deposit is typically collected at the term sheet to commitment letter stage and helps cover lender costs associated with underwriting, due diligence, and third-party reports.

✅ What Is a Good Faith Deposit?

A Good Faith Deposit is an upfront payment made by the borrower to the lender as a sign of serious intent to move forward with a financing agreement.

It is not the same as an application fee or down payment—it’s designed to cover lender-related expenses during the underwriting process.

💰 Typical Bank & Lender Requirements

Deposit Amount: Usually ranges from 0.5% to 2% of the loan amount, depending on lender requirements and loan complexity.

Usage: Applied toward appraisal fees, environmental reports, legal review, and other due diligence expenses.

Refundability: Some lenders offer partial refunds if the loan does not close due to unforeseen circumstances, while others apply it toward closing costs if the deal moves forward.

Timing: Usually paid upon signing the term sheet before formal underwriting begins.

Security: Ensures the lender commits resources to underwriting and due diligence without unnecessary risk.

📌 At Montgomery Lending, LLC, we help our clients navigate Good Faith Deposits efficiently.

We ensure transparency in lender expectations, deposit requirements, and negotiation strategies to protect your interests.

🏁 6. Closing – Finalizing the Transaction

At closing, you’ll sign final loan documents, and the funds are disbursed to complete your transaction.

✅ Lender, title company, and settlement agent coordination – Ensuring all final steps align smoothly.

✅ Loan execution – Funds are wired for acquisition, refinance, or development.

✅ Final borrower review – Ensuring post-closing expectations are met.

📌 Closing typically takes 1-2 hours

📌 We provide a closing checklist to ensure preparation

📌 Ongoing support for refinancing or future projects

 
🔄 7. Post-Closing Support – Financing Beyond the Transaction
Your relationship with Montgomery Lending doesn’t end at closing. We continue to assist with:

✅ Loan performance tracking – Helping you monitor financials, DSCR, and interest rate conditions.

✅ Refinancing & portfolio expansion – Assess new debt structuring options as your portfolio grows.

✅ Market insights & strategies – Stay informed on economic shifts, interest rates, and investment opportunities.

📌 Your success doesn’t stop at closing—Let’s plan for future growth!

📩 Ready to finance your commercial property?