Some good news about the SBA 504 program from Charles Randle. If the President signs the proposed stimulus program, we will see the following at least through 2010:
* Elimination of the .5% bank participation fee charged to lenders
* Elimination of 1.5% CDC fee charged to the borrower
* Low-interest refinancing up to 50% of the project
* Job creation requirement from current $50,000 to $65,000 per job created
* Regular 504 increase from $1.5 million to $3.0 million
* Public Policy 504 increased from $2.o million to $3.5 million
* Manufacturing 504 increased from $4.0 million to $5.5 million
This proposal certainly is a BIG BOOST for lenders wanting to offer exceptionally low interest rates for their borrowers with a 50 percent loan to value ratio. Please contact Charles Randle.