Do any lenders loan to Churches?

Hi guys,
Does anyone know any lenders that loan to independent Christian Churches? A local church in Brisbane looking to purchase a nearby house for the pastor. 3yr financial records available. No debt on church land and hall. I've contacted a few lenders, all say they are unsure and will get back to me... yet to hear back from anyone.

 

Structure or purchasing entity is not an issue.

The question is going to be if the financials stack up from a servicing perspective and you have the deposit for the purchase.

If you need draw upon the equity from the church itself then you will need to go into commercial lending for that portion of the loan.

 

Most banks have church policies. If it's a small 1 - 2 congregation church with no existing debt you probably won't have many issues.

I've also seen church lends where some of the well off members act as guarantees. This has to be weighed up on individual circumstances.

Best advice is to just walk into a few local major banks and ask to speak to the local business banker.

TB

 

It is a single church, no affiliation and no debt. Little savings only, around 20K.

Do you have any names of banks or brokers that I can contact? The church banks with Suncorp, they said no religious loans. NAB and Westpac also turned them down.

I've contacted 5 different local Brisbane mortgage brokes nobody 3 said right out no, 2 waiting for response.

 

whats the structure of the church?

 

I believe it's registered as a Church/charity incorporated. They run a food bank for the local community surrounds also.

 

whats the legal entity?

 

Unsure. Standard church/charity organisation. It is a small congregation around 100-150.

 

Ask for a local business banker from one of the banks and not branch staff.

But if there is only $20K in savings and it's a small church I would anticipate that the organisation isn't in a financial position to get a loan to buy a property.

Another way to address your Church's situation may be to provide a rent allowance to the pastor.

*General advice and not specific as everyone's situation is different.

TB