Church Loan Financing
MortgageDepot offers financing for churches of any denomination, with any size congregation, regardless of what type of structure your church seeks to purchase. We offer church mortgages from $50K to $500K. We love to work with non-profits and we can finance churches in every state except AK, AL, HI, MI, NV, ND, VT and WV.
Churches seeking financing simply need a loan guarantor with a minimum FICO score of 600, and the church must show minimum gross annual revenues of $100,000. The following written documentation is also required:
- The guarantor must fill out the Uniform Loan Application Form (1003 application).
- The guarantor must provide a “tri merge” FICO report, meaning a report from all three credit reporting agencies.
- The guarantor must fill out an online application
- The church must provide its most recent annual profit and loss statement
The maximum loan to value (LTV) available for church financing is 65%, and the max combined loan to value (CLTV) available is 80%. The church must also be able to show 1.25 times their debt service coverage ratio (DSCR) based on their past year’s income.
The terms of our church financing program are as follows:
- Loans below $100K feature a 10 or 15-year fixed rate
- Loans above $100K feature a 25-year fixed rate
- A 5-4-3-2-1 prepayment penalty is included
- Interest rates are between 10.99% and 12.375%
- Bridge and construction loans aren’t available
- 2% loan origination fee
If the church is tax exempt, tax returns aren’t needed. If the church isn’t tax exempt, recent returns may be requested to verify the filing without impacting the loan application.