How much down payment do I need to buy an assisted living facility?
Direct answer
It depends on the loan. SBA 7(a) loans can require as little as 10% down, up to $5 million. Conventional bank loans typically require 25% to 35% equity. On top of the down payment, budget for closing costs, working capital and licensing.
What to know
Experience affects terms. Lenders want an experienced operator, administrator or management company.
HUD loans offer long non-recourse terms but take 6 months or more, so many buyers refinance into HUD after buying.
Seller financing can reduce the cash needed at closing.
How Haven helps
Haven connects buyers with lenders and helps structure financing. Visit our buyers page.