Borrower

Register

Register and submit your loan request online

Quote

Recieve a preliminary loan quote within 24-48 hours

Loan Submission

Loan submissions underwritten, closed, and serviced by Money360

Funded

Funded loans are available for investment on Money360’s marketplace

Marketplace

  • Funded loans are posted to Money360’s online marketplace for investors to review
  • Investors range from institutions to high-net-worth accredited investors
  • Access underwriting documents and diligence items via a secure virtual data room
  • Purchase seasoned whole loans or buy fractional interests
  • Invest in a diversified fund managed by M360 Advisors

Lender/Investor

Signup

Signup / register

Browse

Browse / review investment opportunities

Purchase

Purchase whole loans or fractional interest. Monitor / manage your investments online

Distributions

Receive monthly or quarterly distributions and reinvest

Frequently asked Questions

Borrowers

What does it cost to submit a loan request?+

It is FREE to submit a loan request. Borrowers can visit Money360.com, answer a few questions and receive conditional approval for a commercial real estate loan within minutes with no obligation to proceed with the loan application process. Money360 has developed a proprietary pricing engine that enables borrowers to quickly see the rates and loan amounts they could qualify for under several different loan programs, letting borrowers choose the loan program that makes the most sense for them.

What kind of loans can I get?+

Money360 currently offers loans to purchase or refinance commercial and non-owner-occupied residential real estate. For borrowers needing to close quickly, Money360 also offers short-term bridge financing. Interest rates vary depending on property and borrower characteristics. All loans are interest only with maturities ranging from six months to five years (or more) with no prepayment penalties. Money360 does not offer loans to finance the construction of new properties.

Do I need to have good credit to get a loan?+

No. Good credit is helpful, but not required. Moreover, Money360’s pricing engine places more emphasis on deal/property characteristics than borrower characteristics.

For stabilized/cash-flowing commercial properties, Money360 will typically approve a loan request if the Loan to Value ratio is less than 75% and the global Debt Service Coverage ratio is greater than 1.2x.

For property rehabilitation loans, Money360 will typically approve loan requests if the Loan to Purchase Price ratio is less than 80%, the Loan to Cost (including the budget for the rehab) is less than 70%, and the estimated Loan to After-repair Value (once the property is sold) is less than 65%.

What is conditional approval?+

Money360 enables borrowers to quickly determine if any of Money360’s loan programs make sense for them before committing additional time and energy to complete a full loan application, saving them time and saving us time. Borrowers can visit Money360.com, answer a few questions and receive conditional approval for a commercial real estate loan within minutes with no obligation to proceed with the application process. Money360’s proprietary loan pricing engine determines loan amounts and rates that are conditional upon the verification of information provided by the borrower. Note that Money360 is an online lending marketplace and as such, Money360 cannot guarantee that an approved loan request will be funded by investors/lenders registered with Money360.

How can I get started?+

It’s simple. On the Money360 home page (www.money360.com), simply select your property type, loan amount and property value and click APPLY NOW. You will then be prompted to answer a few more questions. This process typically takes three minutes or less. If you receive conditional approval for a loan, you will be prompted to create an account and complete an electronic loan application on Money360’s secure website. Your “Borrower Dashboard” will enable you to monitor the progress of your loan application every step of the way.

Real estate crowdfunding – how it works+

Although similar, crowdfunding (which usually refers to equity crowdfunding) and marketplace / peer-to-peer lending (sometimes referred to as “digital lending”) and different in certain key respects.


Real estate crowdfunding – how it works: The term, “crowdfunding” is typically used to refer to the manner in which a deal is marketed to investors and the number of investors who participate in the deal. Most real estate crowdfunding platforms vet deal sponsors and then rely heavily on the expertise and local market knowledge of the deal sponsors. Most equity crowdfunding platforms are “price takers”, offering to investors the investment terms that are dictated by the deal sponsors who are raising the money on the platform. Most equity crowdfunding platforms are essentially online marketing companies.




Marketplace / peer-to-peer lending, on the other hand, refers to the manner in which a deal is sourced, underwritten, marketed to investors and serviced post origination (refer to FAQ: “Peer-to-peer lending — how it works”).

Peer-to-peer lending – how it works+

Although similar, crowdfunding (which usually refers to equity crowdfunding) and marketplace / peer-to-peer lending (sometimes referred to as “digital lending”) and different in certain key respects.


Peer-to-peer lending – how it works: The term, “crowdfunding” is typically used to refer to the manner in which a deal is marketed to investors and the number of investors who participate in the deal. Most real estate equity crowdfunding platforms are “price takers”, offering to investors the investment terms that are dictated by the deal sponsors raising the money on the platform. Unlike equity crowdfunding, “peer-to-peer (P2P) lending”, also known as “marketplace lending”, refers to the manner in which a loan is sourced, underwritten, marketed to investors and serviced post origination, all of which relies heavily on technology, hence the term, “FinTech”, used to describe the industry. (The loan may or may not involve multiple investors; P2P platform operators are indifferent.) Whereas crowdfunding platforms are “price takers”, P2P lending platforms are “price makers”, setting the rate and terms of the loans they originate within the constraints of a competitive marketplace. P2P lending platforms not only vet the deal sponsors, but also underwrite the deals themselves.

How do P2P lending platforms differ from crowdfunding platforms?+

Crowdfunding (which usually refers to equity crowdfunding) refers to the manner in which a deal is marketed and funded (i.e., by the “crowd”). Most equity crowdfunding platforms are essentially online marketing companies that financial sponsors can utilize (for a fee) to market their deals to the “crowd”. Many crowdfunding platforms take advantage of new regulations that permit general solicitation. Money360 is not a crowdfunding platform, but at times facilitates crowdfunding of commercial real estate loans by accredited investors.



Marketplace / peer-to-peer lending allows investors to lend directly to borrowers via an online lending platform. Marketplace lending platforms, such as Money360, differ from traditional balance sheet lenders in the manner in which loans are sourced, underwritten, marketed to investors and serviced post origination—all of which rely heavily on technology. The loan may or may not involve multiple investors; platform operators are indifferent. Marketplace lending platforms set the rate and terms of the loans they originate. (By contrast, crowdfunding platforms are often “price takers”, offering to investors the investment terms that are dictated by the deal sponsors who are raising the money on the platform.)

Invest

What types of investments does Money360 offer?+

Money360 provides investment opportunities in the form of loans secured by commercial or non-owner-occupied residential real estate. Properties are located throughout the United States. Most loans pay interest monthly and a balloon payment at maturity. Hold periods range from a few months to several years.

Who can invest in loans originated by Money360?+

Money360 allows accredited investors to invest in the loans it originates. Money360 takes advantage of recent regulatory changes that allow it to market private investment opportunities on its public website; however, only accredited investors are allowed to invest. Investors range from high-net-worth individuals to commercial banks to multi-billion-dollar institutional fund managers.

How are investments in Money360-originated loans different from investments in mortgage REITs or commercial mortgage backed securities?+

Investors in mortgage REITs or a commercial mortgage backed security have little to no information about and control over the actual properties they’re lending against. Moreover, investment returns can be significantly diminished by the operating expenses/management fees associated with these investment vehicles.

Money360, on the other hand, enables investors to choose which properties to lend against, providing investors ultimate transparency and control over investment selection. Investors can build their own loan portfolios, calibrated to their own unique risk preferences and desired level of diversification. Investment returns are not diminished by the operating expenses that are often associated with other commercial mortgage investment vehicles.

How does the JOBS Act impact Money360?+

Money360 was founded in 2010 as the first peer-to-peer lending platform for real estate loans. At the time, securities regulations did not allow Money360 to advertise its lending opportunities to the general public. The JOBS Act was signed into law on April 5, 2012. Title II of the JOBS Act, which became effective on Sept. 23, 2013, allows Money360 to advertise its lending opportunities on its website to the general public, though only accredited investors can lend/invest. Money360 will closely monitor any changes in government regulation that could allow non-accredited investors to invest through its platform.

How does the investment process work?+

Accredited investors who register with Money360 can browse loan listings, access due diligence materials, and review/sign legal documents from Money360’s secure website. To fund a loan, investors transfer funds via ACH to an FDIC-insured account until the loan request is fully funded. If the loan request is not fully funded, 100% of the money is returned to investors.

Why invest through Money360?+

Money360 makes it easy for you to invest in commercial real estate loans. We spend countless hours sourcing lending opportunities so you don’t have to. Money360 allows you to purchase fractions of loans, enabling you to diversify by spreading your money across multiple loans against multiple types of property located in multiple markets/geographies. Commercial real estate loans are inherently large; loan fractionalization allows smaller investors to participate and makes it easy to reinvest monthly payments, whose amounts might otherwise be insufficient to fund whole loans. Money360 simplifies and streamlines the investment process, allowing you to browse lending opportunities online, sign legal documents online and have access to all your documents in one place on your investor dashboard.

Is the Money360 website secure?+

Yes. Money360 uses SSL (Secure Sockets Layer), which is the standard security technology for establishing an encrypted link between a web server and a browser. This link ensures that all data passed between the web server and browsers remain private and integral. SSL is an industry standard and is used by millions of websites in the protection of their online transactions with their customers.