Qualified Commercial's published foreclosure bailout program is capped at $1.5 million. A request above that amount should not be shown as eligible for the published program, split into artificial pieces, or reduced by leaving known closing items out. It belongs in custom capital review.
Custom review is a different path, not an automatic decline
Larger transactions may require a different funding source, approval process, collateral structure, participation, or syndication. The review begins with the same core facts but generally requires deeper evidence earlier because a funding source needs to understand the complete risk before deciding whether to allocate capital.
| Published rescue program | Custom capital review |
|---|---|
| Request at or below $1.5 million | Request above $1.5 million or structure outside published parameters |
| Evaluated under published program screen | Matched to a source after full transaction review |
| Standardized preliminary evidence | Expanded collateral, sponsor, legal, and exit diligence |
| Program terms govern if approved | Structure and terms depend on the selected capital source |
State the full need once
The request should include the senior payoff, other liens and taxes, required closing charges, approved reserves, and any borrower contribution. Presenting a $1.49 million request that ignores another $180,000 needed to close does not make the file fit. It delays the decision and weakens confidence in the package.
What strengthens a larger request
- Current third-party value support and a candid property condition summary
- Complete lien and payoff schedule with good-through dates
- Historical and current property operations, leases, and collections
- Sponsor financial statement, liquidity, experience, and contribution evidence
- Verified authority, litigation, receiver, or bankruptcy documents
- A dated exit with downside sensitivity and a practical backup
What the system should show
The application should accept the real amount, label it Custom capital review, and explain why. It should not display an eligible badge for the published program or promise that a larger source will be available. If a suitable source is identified, the borrower receives the actual structure and diligence list for that source.
Will QC consider a request over $1.5 million?
It may be reviewed for a custom capital path. That review is separate from the published foreclosure bailout program and does not guarantee a proposal.
Can two loans be used to stay under the cap?
The transaction should be disclosed as one complete capital need. Whether multiple facilities are appropriate is a structuring decision for the funding sources and counsel, not a way to bypass a program limit.
Should the application show $1.5 million even if more is needed?
No. Submit the full amount required to close and identify the borrower's verified contribution separately.
Sources and authorities
Always confirm current authority and the rules of the applicable jurisdiction.
- Prudent Commercial Real Estate Loan Accommodations and Workouts — Federal Reserve, FDIC, NCUA and OCC
Qualified Commercial Underwriting Desk
Credit and capital markets
The Qualified Commercial underwriting desk reviews commercial real estate, dealer and Main Street files daily. The Academy is written from that work (how files are actually read, priced and declined) rather than from a rate sheet.
Educational content only. Nothing here is a commitment to lend, an offer of credit, or tax, legal or accounting advice. Program terms, timelines and thresholds vary by lender, file and market conditions, and any figures shown are illustrative.