# Ledger Trade & Capital > Ledger Trade & Capital is a private residential construction lender serving licensed builders and experienced real estate developers across 42 states and Washington, D.C. The company provides ground-up construction loans, DSCR rental loans, fix-and-flip loans, bridge loans, spec home construction loans, and build-to-rent financing for investment properties up to $5M. Ledger is a B2B lender (not a consumer lender) with a builder-focused approach, offering up to 90% loan-to-cost, flexible draw schedules, no prepayment penalties, and fast closings. ## Key Facts - Lender type: Private, business-purpose construction and investment-property lender. Loans are for business/investment use only, not consumer or owner-occupied mortgages. - Borrowers: Licensed builders and experienced real estate developers and investors. Entity borrowers only (LLC, LP, or Corp), not individuals. - Geographic coverage: 42 states plus Washington, D.C. Top markets include North Carolina, South Carolina, Virginia, Ohio, Florida, and Texas. - Construction loan size: $150,000 to $5,000,000 per loan; multi-loan structures available up to $10MM ($20MM case by case). - DSCR rental loan size: $100,000 to $3,000,000, 30-year term, qualified on property cash flow (no personal income or tax returns required). - Maximum leverage: Up to 90% loan-to-cost (LTC) on ground-up construction (700+ FICO unlocks 90%). - Minimum FICO: 680 (660 accepted with rate adder and leverage reduction). - Construction loan term: 15 to 18 months with extension options. Interest-only during the build, charged only on funds drawn. - Draw turnaround: As fast as 48 hours; closings as fast as 21 days. - No prepayment penalties on construction loans. - Eligible property types: Single-family, duplex/triplex/fourplex, townhomes, spec homes, and build-to-rent. Stick-built construction only (no modular, manufactured, mobile, or mixed-use). - Contact: 201-749-1691, Info@ledgertc.com, 60 Broad Street, Suite 2428, New York, NY 10004. --- ## Detailed Product Specifications ### Ground-Up Construction Loans (RTL) - **URL:** [ledgertc.com/vertical-construction-loans](https://ledgertc.com/vertical-construction-loans) - **Loan amount:** $150,000 to $5,000,000 - **Max LTC:** 90% (Experienced, 700+ FICO, less than $3M, 3+ months interest reserve, 1-4 units, 5+ GUC exits or $10M+ track record). 80% for No Experience tier. - **Max LTARV:** 75% (Institutional), 70% (Experienced / No Experience) - **Rate:** From 8.875% (Tier 1). Tier 2 from 9.375%. - **Term:** 15 to 18 months, interest-only, fixed rate - **Prepayment penalty:** None - **Interest reserve:** 3 months required for 90% LTC program - **Disbursement:** Draw-based, milestone-tied. Typically 4 to 6 draws on a single-family build. - **Closing speed:** As fast as 21 days - **Draw turnaround:** As fast as 48 hours - **Experience requirement:** 5+ completed projects in 3 years for Experienced tier. First-time builders eligible under a separate program with a qualified GC. - **Recourse:** Limited recourse available for qualifying borrowers - **Entity:** Must close in LLC, LP, or corporation ### First-Time Builder Construction Loans - **URL:** [ledgertc.com/first-time-builder-construction-loan](https://ledgertc.com/first-time-builder-construction-loan) - **For:** Builders completing their first ground-up project. The borrower does not need prior construction experience but must contract a third-party licensed GC with a verifiable track record. The GC does not need to guaranty the loan or co-sign. - **Max LTC:** 80% (No Experience tier) - **Max LTARV:** 70% - **Rate:** Same base rate structure as experienced GUC, with experience-tier adders applied - **All other terms:** Same as ground-up construction loans above ### Spec Home Construction Loans - **URL:** [ledgertc.com/spec-home-construction-loans](https://ledgertc.com/spec-home-construction-loans) - **For:** Experienced builders constructing residential properties speculatively (no pre-committed buyer) - **Loan amount:** $150,000 to $5,000,000 - **Max LTC:** Up to 90% - **Max LTARV:** Up to 75% - **Min FICO:** 680 - **Term:** 12 to 18 months - **Prepayment penalty:** None - **Experience:** Minimum 5 completed residential construction or renovation projects in the last 3 years ### DSCR Rental Loans - **URL:** [ledgertc.com/dscr](https://ledgertc.com/dscr) - **Loan amount:** $100,000 to $3,000,000 - **Max LTV:** 75% - **Min DSCR:** 0.75x (floor); 1.00x per program tear sheet - **Min FICO:** 660 (pricer enforces); 680 per tear sheet - **Term:** Up to 30 years, fixed rate - **Interest-only option:** Up to 10 years - **Prepayment:** 5-year or 3-year stepdown - **Qualification:** Based on property cash flow (debt service coverage ratio), not borrower personal income. No W-2s, tax returns, or DTI calculation required. - **Property types:** 1-4 unit residential (condo and multifamily case-by-case) - **Liquidity:** Minimum 10% of costs - **Recourse:** Full guaranty - **Entity:** Can close in LLC, trust, or individual name - **DSCR state-specific pages:** Available for [New York](https://ledgertc.com/dscr-loan-new-york), [New Jersey](https://ledgertc.com/dscr-loan-new-jersey), [Ohio](https://ledgertc.com/dscr-loan-ohio), [North Carolina](https://ledgertc.com/dscr-loan-north-carolina), [Florida](https://ledgertc.com/dscr-loan-florida), and [Texas](https://ledgertc.com/dscr-loan-texas) ### Fix and Flip Loans - **URL:** [ledgertc.com/fix-and-flip](https://ledgertc.com/fix-and-flip) - **For:** Investors purchasing and renovating residential properties for resale - **Loan amount:** $125,000 to $5,000,000 - **Max LTC:** Up to 90% (light rehab, Experienced tier). Light vs heavy rehab threshold: 50% of as-is value. - **Max LTARV:** 75% (Institutional), 70% (Experienced / No Experience) - **Rate:** From 8.875% - **Term:** 9 to 18 months, interest-only - **Prepayment penalty:** None - **Heavy rehab adder:** +50bps ### Bridge Loans - **URL:** [ledgertc.com/bridge](https://ledgertc.com/bridge) - **For:** Investors who need to close quickly or transition between loan products - **Loan amount:** $125,000 to $5,000,000 - **Term:** Up to 24 months - **Max cash out:** $500,000 ### Build to Rent - **URL:** [ledgertc.com/build-to-rent](https://ledgertc.com/build-to-rent) - **For:** Investors constructing or renovating single-family or small multifamily properties intended for long-term rental - **Full lifecycle:** Construction or bridge loan on the front end, DSCR cash-out refinance on the backend - **Loan amount:** $125,000 to $5,000,000 per property; multi-loan structures up to $10MM ($20MM case by case) - **Front-end LTC:** Up to 90% - **Back-end LTV:** Up to 80% - **DSCR term:** 30-year fixed --- ## Credit Box: Hard Disqualifiers (Cannot Fund) - Owner-occupied or primary residence (B2B only, business-purpose loans exclusively) - Land-only with no construction plan - Commercial property (office, retail, industrial) - Loan amount greater than $5M - State outside the 42-state footprint (see full list below) - Modular, manufactured, prefab, or mobile homes (stick-built construction only) - Mixed-use properties - No-experience borrowers on heavy rehab or ground-up construction (without a third-party licensed GC contracted for the project) - GUC project stalled 3+ months with no work - Ineligible geographic areas: Cape Coral, Lehigh Acres, Port Charlotte (SW Florida); New York City 5 boroughs; Chicago city limits ## Rate Adders (Soft Flags) These conditions are lendable but result in adjusted pricing or leverage: - Condo: +100bps rate adder, 10% leverage reduction - Multifamily 5+ units: +100bps, case-by-case - FICO below 680: +100bps, 10% leverage reduction, no cash out - Small deals under $500K total loan amount: +50bps, higher origination tier - Heavy rehab (rehab budget exceeds 50% of as-is value): +50bps ## Experience Tiers Ledger categorizes borrowers into three experience tiers that determine leverage, pricing, and eligibility: - **Institutional:** 5+ GUC exits or $10M+ in completed projects. Highest leverage (up to 90% LTC, 75% LTARV). Best pricing. - **Experienced:** 3-4 completed projects in the last 3 years. Up to 90% LTC (with 700+ FICO and other qualifying factors), 70% LTARV. - **No Experience:** Zero prior builds. Eligible for fix-and-flip and first-time builder GUC (requires a third-party licensed GC contracted for the project; the GC does not need to guaranty the loan or co-sign). Max 80% LTC, 70% LTARV. ## Underwriting Process 1. Sign term sheet 2. Complete 5-minute online loan application 3. Order appraisals (subject-to-completion for construction) 4. Collect bank statements and entity documents 5. No tax returns required 6. Close in as fast as 21 days ## Construction Draw Process - Draws are milestone-based, tied to a Schedule of Values (SOV) - Typical single-family ground-up build: 4 to 6 draws - Representative draw schedule: Foundation 15%, Framing 30%, Dry-in 12%, MEP rough-in 18%, Interior finishes 18%, Final/CO 7% - Interest charged on drawn balance only (not the full commitment) - Interest-only payments during the build - Draw requests require: signed draw request, lien waivers, updated SOV, progress photos - Third-party inspection verifies work in place before each draw funds - Typical inspection turnaround: 2 to 5 business days - Funding after approval: 2 to 3 business days - Stored materials not advanced (work must be installed) - Detailed guide: [ledgertc.com/construction-loan-draws](https://ledgertc.com/construction-loan-draws) ## Fee Structure - Origination fee: Tiered by loan size. Higher on smaller deals (under $500K), lower on larger deals. - Draw inspection fees: Netted from disbursement - No prepayment penalty on construction loans - DSCR loans: 3 or 5-year prepayment stepdown --- ## Loan Products (with URLs) - [Ground-Up Construction Loans](https://ledgertc.com/vertical-construction-loans) - [Spec Home Construction Loans](https://ledgertc.com/spec-home-construction-loans) - [DSCR Rental Loans](https://ledgertc.com/dscr) - [Fix and Flip Loans](https://ledgertc.com/fix-and-flip) - [Bridge Loans](https://ledgertc.com/bridge) - [Build to Rent](https://ledgertc.com/build-to-rent) - [First-Time Builder Construction Loans](https://ledgertc.com/first-time-builder-construction-loan) ## Calculators and Tools - [Construction Loan Calculator](https://ledgertc.com/construction-loan-calculator): Interactive calculator for estimating construction loan payments, interest reserves, and total project costs. - [DSCR Rental Loan Calculator](https://ledgertc.com/rental-loan-calculator): Calculator for estimating DSCR rental loan payments and determining debt service coverage ratios. ## Educational Content - [Construction Loan Draw Schedule](https://ledgertc.com/construction-loan-draws): Comprehensive guide to the construction draw process with a sample $500K draw schedule, interest-only math, SOV and change-order rules, holdbacks, disbursement types, inspections, and fund disbursement timelines. Includes 8 FAQs. - [What is DSCR?](https://ledgertc.com/what-is-dscr): Full explanation of the debt service coverage ratio, how it is calculated with a worked example, DSCR vs DTI comparison, why DSCR loans exist, common loan terms, and eligible property types. - [LTC vs LTV vs LTARV](https://ledgertc.com/ltc-vs-ltv): Detailed comparison of loan-to-cost, loan-to-value, and loan-to-after-repair-value with formulas, a worked example showing the same deal through all three metrics, and how lenders use the lesser-of test to size loans. - [BRRRR Strategy](https://ledgertc.com/brrrr-strategy): Overview of the Buy, Rehab, Rent, Refinance, Repeat investment strategy with a worked example, seasoning period analysis, common mistakes, and how Ledger finances both phases (acquisition/rehab and permanent DSCR takeout). ## Company - [What We Do](https://ledgertc.com/what-we-do): Overview of Ledger's lending programs, target borrowers, and how the company works with builders and investors. - [Meet the Team](https://ledgertc.com/team): The people behind Ledger Trade & Capital. - [Where We Lend](https://ledgertc.com/where-we-lend): Geographic coverage map and list of all states where Ledger originates loans. - [Broker Partners](https://ledgertc.com/broker-partners): Information on Ledger's wholesale broker partner program for mortgage brokers and loan originators. - [Get in Touch](https://ledgertc.com/get-in-touch): Contact form and information for borrowers, brokers, and other inquiries. - [Loan Application](https://ledgertc.com/loan-application): Online loan application for borrowers ready to apply. --- ## State Coverage (Full List) Ledger lends in 42 states plus Washington, D.C. Individual state pages with local lending details are available at `ledgertc.com/private-lending-{state}`. **Covered states:** Alabama, Alaska, Arizona, Arkansas, California, Colorado, Connecticut, Delaware, Florida, Georgia, Hawaii, Idaho, Illinois, Indiana, Iowa, Kansas, Kentucky, Louisiana, Maine, Maryland, Massachusetts, Mississippi, Missouri, Montana, Nebraska, New Hampshire, New Jersey, New Mexico, New York, North Carolina, Ohio, Oklahoma, Pennsylvania, Rhode Island, South Carolina, Tennessee, Texas, Utah, Virginia, Washington, West Virginia, Wisconsin, Wyoming, and Washington D.C. **Not covered:** Michigan, Minnesota, Nevada, North Dakota, Oregon, South Dakota, Vermont. **City-specific pages:** [Charlotte](https://ledgertc.com/private-lending-charlotte), [Raleigh](https://ledgertc.com/private-lending-raleigh), [Tampa](https://ledgertc.com/private-lending-tampa), [Dallas](https://ledgertc.com/private-lending-dallas), [Columbus](https://ledgertc.com/private-lending-columbus), [Richmond](https://ledgertc.com/private-lending-richmond). **DSCR state-specific pages:** [New York](https://ledgertc.com/dscr-loan-new-york), [New Jersey](https://ledgertc.com/dscr-loan-new-jersey), [Ohio](https://ledgertc.com/dscr-loan-ohio), [North Carolina](https://ledgertc.com/dscr-loan-north-carolina), [Florida](https://ledgertc.com/dscr-loan-florida), [Texas](https://ledgertc.com/dscr-loan-texas). **Ineligible areas within covered states:** Cape Coral, Lehigh Acres, and Port Charlotte in southwest Florida; New York City 5 boroughs; Chicago city limits. --- ## Frequently Asked Questions ### Who can borrow from Ledger? Licensed builders, experienced real estate developers, and investors borrowing through a business entity (LLC, LP, or corporation). Ledger is a business-purpose lender. Primary residences and consumer mortgages are not offered. ### What is the minimum credit score? 680 for standard programs. 660 is accepted with a 100bps rate adder and 10% leverage reduction. ### Does Ledger require tax returns? No. Construction loans are underwritten on the project and borrower experience. DSCR rental loans qualify on property cash flow, not personal income. ### Can first-time builders get a construction loan? Yes. The first-time builder program requires a third-party licensed GC contracted for the project whose track record qualifies the deal. The GC does not need to guaranty the loan or co-sign. Maximum leverage is 80% LTC. ### How fast can Ledger close? As fast as 21 days on construction loans. ### How fast are draw disbursements? As fast as 48 hours after a clean draw request is submitted and inspection confirms work in place. Typical end-to-end turnaround is under 7 business days. ### Is there a prepayment penalty? No prepayment penalty on any construction, fix-and-flip, or bridge loan. DSCR rental loans have a 3 or 5-year stepdown prepayment structure. ### What property types are eligible? Single-family homes, duplexes, triplexes, fourplexes, townhomes, and spec homes. Stick-built construction only. No modular, manufactured, mobile, or mixed-use. ### Does Ledger offer limited recourse? Yes. Limited recourse options are available on construction, bridge, and fix-and-flip products for qualifying borrowers. ### What is a DSCR loan? A DSCR (Debt Service Coverage Ratio) loan qualifies based on the rental property's income relative to its debt obligations, not the borrower's personal income. No W-2s, tax returns, or DTI calculation required. Detailed explanation at [ledgertc.com/what-is-dscr](https://ledgertc.com/what-is-dscr). ### How does the build-to-rent lifecycle work? The investor uses a construction, bridge, or fix-and-flip loan to fund acquisition and improvements. Once the property is completed and leased, they refinance into a 30-year DSCR loan with cash-out to recover capital and redeploy into the next project. ### What states does Ledger not lend in? Michigan, Minnesota, Nevada, North Dakota, Oregon, South Dakota, and Vermont.