Commercial IRA Loans

NASB can help you finance your commercial project with an IRA loan

Key Features

In most cases, protections offered under federal and state bankruptcy law

Self-directed IRAs may yield higher returns at a faster rate

Retirement savings grow in a tax-deferred or tax-free environment1

Finance your next commercial project with an IRA loan from NASB.

Contact one of our loan officers to find out how you can invest in commercial property with an IRA using an IRA non-recourse loan.  We’ll answer all your questions, including:

  • How self-directed IRAs function
  • What a non-recourse loan is and how it works
  • What the IRS has to say about real estate in an IRA
  • The step-by-step actions on how to get started using real estate investments within your IRA to earn returns

IRA Loan General Terms and Pricing

Amount - $500,000 - $5,000,000

Interest Rate - Fixed interest rate, or spread versus U.S. Treasury security, to be determined based upon individual project risk

Rate Lock - Locked at commitment

Term - Three to ten years

Amortization - Five to 20 years; 25 years may be available for newer properties, specific property types, or longer leases

Loan-to-Value - Up to 60% of appraised value; Credit tenant properties according to the tenant.

Application Fee - None

Asset Types - Multifamily, Single Tenant/Credit Tenant, Multi-Tenant Retail with National Tenants, Quick Serve Restaurants/Casual Dining with long term corporate leases

Debt Coverage - 1.25x based on stabilized net operating income; exceptions on lender’s approval

Prepayment - No lockout; Fee is typically from 1% to 3% depending on rate and term

Operating Reserves - Typically none except for Multi-family properties; determined on individual project or loan structure basis

Security - First lien position, lease assignment; other collateral upon lender’s approval

Recourse – Non-recourse

Subordinate Debt - No

Standard Provisions - Third-party reports (appraisal, survey, etc.); Escrows for taxes and insurance; Minimum occupancy requirements; Annual financial reporting on property operations and borrowers

Assumption - Subject to lender’s consent and payment of assumption fee

Underwriting - Underwriting decisions made within 48 hours of submission of a complete package

Closing - 60-day allowance; average closing with the submission of all third-party reports and appropriate documentation is 35 days

Recent Commercial IRA Loan Transactions

$3,000,000
Acquisition
80-unit Multifamily
McAllen, TX

$2,475,000
Refinance
Anchored Retail
Elizabeth, CO

$1,470,000
Acquisition
GSA Office
Kemmerer, WY

$1,185,000
Acquisition
60-unit Multifamily
Irving, TX

$900,000
Acquisition
32-unit Multifamily
Tucson, AZ

$700,000
Refinance
43-unit Multifamily
Kansas City, MO

Timothy W.
I have referred several of my associates in the commercial real estate industry to NASB. I am sure when they need great financing, they will treat them as good as they treated us.