Lenders don't approve deals. They approve files. The file that's complete and easy to follow gets better pricing and closes faster.
I've built my business on that. The packages I send lenders are the cleanest they see, and that's how my clients get terms that compete with walking into the bank directly. Here's what goes in one.
Start with the story
Before a single tax return, an underwriter wants to know what they're looking at. That's a one or two page deal summary.
It covers what you're buying or refinancing, why, how much you need and how it gets paid back. It includes a sources and uses table showing every dollar coming in and going out. And it introduces you: your experience with this type of property or business, and why you'll make it work.
A good summary also names the deal's weak spots and explains them. More on that below.
Documents about you
These prove you can be trusted with the loan:
- Two to three years of personal tax returns, complete with every schedule
- A personal financial statement, signed and dated within the last 90 days
- A schedule of real estate owned listing every property, its loan and its income
- Recent bank or brokerage statements showing your down payment and reserves
- A photo ID and your entity documents, like the operating agreement and certificate of formation
If you have partners, every owner of 20% or more usually needs the same set.
Documents about the business
If a business is paying the loan, such as an SBA or owner-user deal, add two to three years of business tax returns, a year-to-date profit and loss statement and balance sheet, and a debt schedule listing every loan the business carries. If you're buying a business, include the seller's financials and the purchase agreement.
Documents about the property
For an income property, the lender needs:
- A current rent roll with lease dates and rents
- Trailing 12-month operating statements, plus the last two years
- Copies of the major leases
- The purchase contract, or the payoff letter if you're refinancing
- Any recent appraisal, environmental report or property condition report you already have
For construction or renovation, add the budget, the plans, the contractor's bid and a timeline.
Make the numbers agree
This is where most packages fall apart. The rent roll says one thing, the operating statement says another and the tax return says a third. Every mismatch becomes a question, and every question adds days.
Before anything goes out, I make sure the numbers tie. Rent roll totals should match the income on the operating statement. Loan balances on the schedule of real estate owned should match the statements. If something can't match, like a tax return that includes a property you've since sold, explain it in a note.
Get ahead of the weak spots
Every deal has something. Maybe revenue dipped one year, or your biggest tenant has 14 months left on the lease.
Explain it in the summary, with the facts and your plan. Underwriters are people. When you tell them first, it reads as honesty. When they find it themselves, it reads as hiding, and they start digging into everything else.
Why it's worth the effort
A clean package does more than save time. It changes how a lender sees you. They price the risk they can see, and a complete file shows them less risk. It also lets me put your deal in front of several lenders at once and make them compete for it.
We build these packages for every client, and for owners who need help getting lender-ready before they apply, that's what our capital advisory work is for.
If you've got a deal coming up, schedule a free consultation. I'll tell you what's missing and what a lender will ask about first.