APPLES-TO-APPLES COMPARE

Term Sheet Comparison Checklist

Real leverage vs. advertised leverage. How to compare two offers and see the true cost of capital.

The #1 mistake borrowers make: Comparing headline rates without accounting for points, reserves, holdback structure, and drawtiming. Higher leverage with slow draws and heavy reserves often costs more than a structure combined with clean execution.

SIDE-BY-SIDE COMPARISON

Interest Rate

Headline. Not the whole story

Origination Points

Upfront cost. Adds to total cost of capital.

LTC (Loan-to-Cost)

% of project cost financed.

LTV / ARV Cap

Max loan as % of After Repair Value.

Holdback Release

"In advance" vs "draw-based in arrears."

Draw Turnaround

Days from draw request to funded.

2 Bus. Days ✓

Reserves Required

Cash held by lender vs. in your account.

Prepayment Penalty

Fee for early payoff.
Negotiate or avoid.

Close Timeline

Days from LOI to funded.

7–10 Days ✓

Dedicated Team / POC

Or are you in a queue?

Yes ✓

Draw Inspection Fee

Per draw. Adds up across 4–8 draws.

Extension Options

Can you extend if project runs long?

Tip: Want Upright to walk through another lender's term sheet with you? We'll break it down apples-to-apples, including cash-to-close, reserves, fees, and timeline risk, with no pressure. Call 216-206-6079.

Contact Upright