The Process Begins

Myself and some of our leaders met last night to discuss loan process and requirements. We met earlier this year but things were delayed due to some in-house challenges that needed to be handled before moving forward. Curtis, who is our newest member (1-1/2 years) and on my finance team is a certified accountant by trade asked questions that I never thought to ask for our understanding. Thank God for sending his to our church. After our discussion, loan agents left the room and we discussed everyone's comfort level with moving forward and we decided to do so. This renovation project is a total necessity from years of a band-aide repair approach that now nothing can be repaired any longer it must be fixed correctly. We have no choice!

We're getting our loan from Loan Pacificworks, a mortgage lending company that has dedicated 30 years to assisting churches achieve their goals through private investors. One of the problems with our church is that we're a small group of people and many banks turned us down because of insufficient financials and while our church is some 60 years old, we have no established credit. The loan itself is a interest only loan and this company sets loan payment amount based on our churches budget and payment difference is placed in an interest reserved account. Our plan is to allow the balance of the loan, when construction is completed, to re-pay itself minimizing our exposure to high interest rate and contributions from our members will go directly to principle balance. Our prayer is that by 2014 half of our loan will be paid off and then re-finance with another bank to reduce interest with a 30 year fixed term reducing our monthly payments. Then, our goal is that by 2020 loan amount of $500,000 will be paid off.

The preliminary qualification application was completed yesterday to get the ball rolling and our hope is to start construction Sept 1st. In the meantime, we're going to start the process of negotiations with perspective contractors to work out a good deal. My main concern is make sure we get everything done with reserve at the end to repay loan and have some operating capitol for our ministry efforts.

This has been a huge load off my shoulders in a sense that progress is finally being made. We've had so many in-house obstacles that I almost said forget it. But the necessity is there for us to renovate our church so that it is a safe comfortable environment to minister effectively God's word and to God's people.

I pray that God will bless our leap of faith in this effort to present the best we have to offer to Him. Please keep us in your prayers!!!!!!!!!!!