Complaint Review: Michael Martin Capital Source Lending - Internet Internet

 (itsabigdeal (James) Houston Texa).....IS A LIAR !!!!!!!!!

In my response to this posting I must say now I understand how it feels to be abused, it is truly shameful that the owner of this site would allow unsubstantiated claims to be presented in this manner on their message board.  It is amazing to me  now that any fool with a computer can take a piece of fiction and present it as fact as you see noted in the posting, with the
hopes of bringing damage to another person. I have been in business for over 15 years and has never had my character or business ethics questioned before, but now I will attempt to explain the truth surrounding this this transaction.

 Mr. K James (itsabigdeal (James) Houston Texa) contacted me regarding a cash out refinance of a apartment complex, Initially I stated we could assist him in this process but once we engaged we realized there were certain situations
which made this loan unbankable  due to the fact borrower didnt own the property at that time.

If anyone out there knows how to provide a refinance cash out loan where the borrower doesnt own the property please contact me to explain how this is possible.

 A decision was then made by the principle borrower to move forward with the purchase of the property independently from me. Once this was done then I was asked again to assist them with a the refinance of the property.

Now lets look at the outline of what was asked.

1) The client injected into the purchase as a down payment was $10,000.00

(In todays market purchasing an apartment complex you will need between 15-30% down not the 2% this client put down in this transaction.)

2) Owner of the property held a private note $540,000.00.

3) Client then requested  a cash out refinance loan for $1,000,000.00

4) Please note the borrower would receive $500,000.00 cash out

Where would  this type of loan be available in any banking situation in the US? The answer is nowhere. With that being said I had to seek funding outside of the banking industry and this is where Capital Source Lending came into the picture. Michael Martin (CEO Capital Source Lending)is a private lender located in VA , anyone who is reading this post please take the time to look for any  other negative  complaints on this company.  I did this before I introduced CSL to the
client. You will find what I found when I did my own research on CSL. NOTHING

Mike reviewed the deal and decided to accept it because of the historical occupancy rate of the property at 95% and the LTV would be at a estimated 55%. So from a private lending stand point this would be an ideal loan to fund, especially with the
fees they were going to charge.  CSL presented an initial commitment to the client which they agreed to see the heading below.

 Capital Source Lending, LLC (CSL) Lender and on behalf of assignee and partnering with a Finance Division (investor)
is pleased to offer a conditional commitment financing for working capital purposes, construction finance and business establishment services in this letter to (Borrower).The Final Commitment letter supersedes all prior correspondence, commitments, and oral and other communications relating to financing arrangements between Borrower and
Lender.

Here is  another area of this document I want to present to you for your review as well.

 (11) Commitment Fee:

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Simultaneously with the acceptance by the Borrower of this Commitment, a refundable Commitment Fee equal to
$10,000 will be due the Lender and/or its affiliates, to be retained by the Lender as compensation for the securitization of a bank instrument

These Fees will be due after this commitment letter is executed and approved by
borrower. (If Borrower fails to close on this program at its own election, the commitment fee is non-refundable (but
funding fee is refundable minus 30% for instrument processing due diligence, and underwriting cost associated with this loan regardless if it closes)

(12) Instrument Funding Fee:

-----------------------------------


Client agrees to pay a funding fee to cover the expense for a bank instrument that will be used to obtain loan funds on behalf of client. If lender does not perform the funding is refundable minus a $50,000 processing cost. (which will be due after closing). If Client elects not to proceed to loan after final underwriting then client understands a 30% fee is due (instead
of the  10K) and balance will be refunded to client. 

 Commitment Expiration:

----------------------

This commitment shall expire on August 6th, 2011 unless prior thereto either extended in writing by the Lender or
accepted as provided below by the Borrower

 This was the initial commitment and they never provided the 10K as outlined but time went on, there was still daily communication concerning the transaction. There where other delays but the client knew of the delays to the point Mike had a conference call with the clients attorney and explained the delays. Once the loan got to a point that looked like as if it was ready close Mike requested the 10K. Mike then had a additional call with the attorney and again there was no mention of a problem concerning move forward in the transaction. There was an additional delay and the client decided to cancel the
loan (9th hour). The problem was by that time the instrument had already purchased and funding was now possible but it turns out the client had engaged with another funding source (which didnt close their loan). Now there was
strong communication on both sides at that point, I talked with Mike and he agreed to return 5K immediately and then replace my client with one of his own because the 1MM had to be repaid then at that point pay the remaining 5K to the client as it was already in process.  But the client decided not to accept the offer at that time. Then threats were made to Mike so he removed that offer off the table and decided to operate under the letter of the commitment and by doing so he didnt have to return the commitment fee. And we now find ourselves at this point a joker broker with a computer and a opinion of self righteousness. Let me say that if there are any question concerning this transaction contact me personally at that time I can give you more details. 

 As you will note I never presented the clients name nor have I tried in any manner to defame him as it has been done to me.

*** they are the scammers---The only truth this guy has is he did come to us for financing a piece of property in which he had a hard money loan on at a high rate and he was in trouble as the term was coming up to pay the investor in full and he did not have the money to pay and at every turn of trying to get financing they were turned down, he told us he was in good standings with the lender which we found out later that was not true (thats why he had to come out of  pocket several times as he was behind and had incurred penalties)  He is correct about the dates of three months but only because he never provided the rest of the documents in which he needed to close the loan, we never recieved an updated appraisal and other items asked of him. (He sent us some crap about a broker's opinion) We did take a 10k commitment fee which basically says if we get you the loan you can't pull out, which he did pull out.  Our documents which clearly say the following for due diligence and in which Mr. James Holmes signed the document which the laguage clearly says " If borrower fails to close on this transaction at its own election and after the bank instrument is securitized the commitment fee is non-refundable. We securitized the insturment on his behalf with an investor that put up 50k for their fee as they were dead broke (and still owe the investor money which they are about to be sued for)  Also Mr. James Holmes committed fraud. He was told he needed his own skin in the game and it was later found out he needed to borrow that 10k from his elderly father. Mr. Holmes  contacted me and I offered (which I did not have to) 5k back and if anyone came forwarded needing that $1.2 nmillion dollars he would recieve the full 10k back, he retaliated by "threating to come to my state and take care of business his way and that I needed to look at his folder to see who I was F*&*&^%^  with" as he is a federal bail bondsman, when he made that threat on my life I call my fiance who IS a real FEDERAL AGENT (not some bozo bailbonds man who thinks he has some kind of federal authority) and when I told him she was getting on the line and he could keep spouting his threats he hung up like the coward he is.

Well we did  forward his info to the feds and made a complaint of the threat.  Keith Robertson had come to me asking for a return several times on their behalf and I told Keith exactly what I have written here and told him of the offer I made to the elder holmes.  Its always the poor clients with no money or equity and have gotten themselves in hot water and made poor decisions about hard money lenders that always want something for nothing and never want to pay for it so they figure they can screw and defraud the lender. 

CSL has been in business since 2005 we have completed three hugh transactions just in the  last quarter of 2011. We have refunded roughly 6 client's back their money including a 100k deposit because the client was in failing health (again we did not have to do this according to our legal documents) We have numerous referrals of financing transactions and numerous referrals of client's recieving money back when asked as long as they did it in the time allotted (not when we have spent money on their behalf and not when they try to defraud us)  We welcome their lawsuit as we will have counter suits to their one. One for fraud, one for the investor putting money up on their behalf wanting his return ( they owe 100k). And now we will sue them for defamation as we will have clients in the court room testifying they did get funded in their response "we don't have the capibility to fund". We will print the judgements we get on them at a later date. Also several of my client's who have recieved funding will put up testimonys and those who got refunds also have commited to putting up their testimonys on this site and let the readers decide who really are the liars and schemers in the conflict