If you have ever had a broker promise terms that never showed up, or a lender cut the loan amount at the closing table, you already know why it matters who actually funds and holds your loan.
That is why I run Damen Capital as a direct balance sheet lender. Here is what that means and why it matters for your next deal.
What is a balance sheet lender?
A balance sheet lender funds loans with its own capital and keeps them on its own books after closing.
It does not broker your deal to someone else, and it does not sell your loan to an investor once it closes. The company that approves your loan is the company that funds it and the company you deal with until it is paid off.
Have a land deal?
$30K to $1M from a direct balance sheet lender. No appraisal, close in as little as 7 days.
Get My Loan Quote →Is Damen Capital a balance sheet lender?
Yes. We fund every loan from our own capital, keep every loan on our books, and never sell a loan after closing.
There is no broker and no committee. I underwrite every land loan we make, and the money comes from Damen Capital Fund. See our land loan terms.
How is a balance sheet lender different from a broker or a loan that gets sold?
Only a balance sheet lender both makes the decision and keeps the loan.
| Who decides | Whose money | Who holds the loan after closing | |
|---|---|---|---|
| Balance sheet lender (Damen Capital) | The lender | The lender's own capital | The same lender, until payoff |
| Loan broker | A lender the broker sends your deal to | That lender's | Whoever that lender is, or whoever buys the loan |
| Originate to sell lender | The lender, for now | Often a credit line, with the loan sold later | An investor that buys the loan after closing |
A broker is not always bad. But a broker cannot promise you terms it does not control, and some ask for fees up front. Never pay a lender or broker anything before closing. More in direct land lender vs. broker and how to tell if a land lender is real.
Why does a balance sheet lender matter on a land deal?
Because the people who approve your loan are the people you deal with for its whole life.
- The quote holds. Your LOI amount is your closing amount. The only deduction at closing is our $600 fee.
- Partial releases come from us. On a subdivide, you sell lots and the releases come from the lender who made the loan. See subdivide financing.
- Wraps are allowed. Because we keep the loan, we can leave it in place when you sell on terms. Most land lenders will not. See wrap financing.
- Extensions are a conversation, not a form. We offer extensions after the 24 month term, and the request goes to the same people who made the loan.
In my experience, the cheapest loan on paper is not the cheapest loan if it changes at the closing table or gets sold to someone who will not answer the phone.
What does Damen Capital lend on?
Vacant land purchases and land flips, $30,000 to $1,000,000, closing in as little as 7 days.
- 14% interest only on loans of $100,000 and up, 16% under $100,000, for 24 months
- Up to 65% of value (our own valuation, not an appraisal; closer to 50% of value in slower markets), never more than 80% of the price
- $600 closing fee, 2% exit fee at payoff, no points, no appraisal
- Business purpose loans to LLCs and corporations, on land of 2 acres or more
Run your numbers in the instant loan quote, or text or call 302-526-0200.
Frequently Asked Questions
What is a balance sheet lender?
A balance sheet lender funds loans with its own capital and keeps them on its own books after closing. It does not broker the loan to someone else or sell it to an investor once it closes, so the company that approves your loan is the company you deal with until it is paid off.
Is Damen Capital a balance sheet lender?
Yes. Damen Capital is a direct balance sheet lender for vacant land. We fund every loan from our own capital, keep every loan on our books, and never sell a loan after closing. There is no broker in the middle.
Why does a balance sheet lender matter to a land investor?
Because the lender who approves the deal is the one who funds it and keeps it. The terms you are quoted are the terms you close on, and later requests like a partial release, a wrap when you sell on terms, or an extension go to the same people who made the loan.
How is a balance sheet lender different from a loan broker?
A broker does not lend. It passes your deal to a lender, and the lender can change the terms or decline late in the process. A balance sheet lender makes the decision and funds the loan itself.
What does Damen Capital lend on?
Vacant land purchases and land flips, $30,000 to $1,000,000, 14% interest only on loans of $100,000 and up and 16% under $100,000, for 24 months. No appraisal, and closings in as little as 7 days. Business purpose loans to companies on land of 2 acres or more.