Avatar's Blog
» What is a Letter of Intent?
Posted on 11/13/2004
A letter of intent is a letter sent to a potential borrower client from a lender - in this case, a hard money lender. Avatar Financial Group sends letters of intent to clients whose real estate funding requests meet Avatar's lending criteria.
The letter is an indication that Avatar intends to fund the project assuming that the financial information received to date and yet to come meet the criteria and show no reasons why the project should not be funded, and the property passes inspection by both Avatar representatives and any/all inspectors, appraisers, etc. that will be asked to provide professional services.
If you have been forthright and complete in your documentation, and your property is as you represent it, there should be no further imepdiments to funding. A letter of intent is your assurance that it is now safe and appropriate to sign the document and send a check to cover third party costs of the required due diligence to complete the paperwork to get your project funded.
Posted in Miscellaneous
The letter is an indication that Avatar intends to fund the project assuming that the financial information received to date and yet to come meet the criteria and show no reasons why the project should not be funded, and the property passes inspection by both Avatar representatives and any/all inspectors, appraisers, etc. that will be asked to provide professional services.
If you have been forthright and complete in your documentation, and your property is as you represent it, there should be no further imepdiments to funding. A letter of intent is your assurance that it is now safe and appropriate to sign the document and send a check to cover third party costs of the required due diligence to complete the paperwork to get your project funded.
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