Life Insurance

Financing Secured by Largo through Correspondent Life Insurance Lender

In addition to Largo’s long list of prestigious correspondence lenders, Largo has closed loans throughout the past 30 years with virtually very life insurance company in the U.S.

They maintain the loans on their balance sheets and typically focus on top tier borrowers and properties. Most life lenders lock the interest rate at application for a period up to 90 days and in some instances are able to provide forward commitments up to 12 months for additional pricing. The majority of loans originated by a life company remain in their portfolio for the life of the loan. This allows life company lenders to be more flexible with loan structures. Life companies can offer superior pricing especially for low leverage transactions in primary locations. Loan terms and amortization can be as long as 30-35 years, depending on the lender. The servicing of the loan post-closing is typically handled through an intermediary such as Largo or by the life company itself.

  • All income producing properties
  • 3-30 year term/ up to 30 year amortization
  • Self-amortizing structures available
  • Interest only available for conservatively underwritten loans
  • Non-recourse (can be used to mitigate short term issues)
  • Loan-to-value up to 75%
  • Fixed interest rate typically locked at application
  • Priced over corresponding treasury or average life
  • Premium pricing for lower leverage deals with strong borrowers
  • Forward commitments available up to 12 months
  • No on-going operating covenants
  • No reserves/escrows
  • Par loans
  • No cash management/depository relationship
  • Yield maintenance and/or structured prepay
  • Earn-outs
  • No third party servicers
  • Will consider recently stabilized properties
  • Flexible throughout life of loan
  • Top tier borrowers and properties