Commented on How to Guarantee Success in the New Year / Ron Edmondson http://t.co/Ntkg1GGX

Richly blessed, and excited for 2012!! People to love, dreams to dream, adventures to enjoy…

You MUST watch this performance…most moving rendition of Oh Holy Night ever…IMHO….. http://t.co/5xxYAIix via @youtube

One great way to reduce expenses is to lay off the Pastor. (Kidding!) Better way? Refinance your church loan!

Managing Your Church: Top 10 Year-End Fiscal Tasks: http://t.co/ZxF6RRNu via @AddThis

We pay referral fees….know any churches with financing needs? Referral fee of up to $10,000 depending on loan amount.

One of the obvious questions many churches have about church loans is simply this: “How much can my church qualify to borrow?”

There are three ways to answer this question. The very simplest (and least accurate) is to use a multiple-of-income rule of thumb. Multiply your church’s annual income by 3.5, and as a very rough approximation, that is the amount you can expect to be able to borrow. Having said that, some churches have such low expenses that they can qualify to borrow as much as six times their annual income.

The second, and much more accurate, approach is to look at the numbers the way the underwriter will look at them. The underwriter will calculate a debt service coverage ratio, DSCR, and will want that ratio to be in the vicinity of 1.25 or less. The DSCR is the income available to service the debt, after recurring expenses and a few other adjustments.

The third answer to this question is, of course, it depends. And this is the reality. The underwriters will look at a number of factors, when evaluating your church loan request. What is the loan-to-value? How long has your church been in business? What is the trend of your congregation’s membership and giving?

To get a solid and realistic answer about how much your church can borrow, call us. Send us your church’s financials and our simple one-page application, and very quickly (usually in less than 24 hours) we will get back to you with an answer.

We would be honored to assist you with your church financing needs.

We love to approve church loans without requiring a personal guarantee.  In fact, over 90% of the loans we write do not require any personal guarantees.

Sometimes a guarantor is needed to compensate from weakness in one or more aspects of your application, but if we can get the loan done without one, we will!

Fill out our online church loan application right now, and let us show you what we can do for your church.

You may be successful in obtaining a hard money church loan, but the amount you will be able to borrow will be a lower LTV and the cost will be higher than what you can get from us, the church loan experts at Griffin Capital Funding.

There is no reason to go anywhere else. We would love to hear from you today.