Compare each proposal on the same financing request and date. Separate commitment, initial advance, withheld cash and annual service, and keep unconfirmed terms visible beside the numbers.
Use the matrix to normalize facts before choosing a lender. Give every proposal an identifier and date, tie it to the same property forecast, and preserve conditions that have not been resolved. A well-formatted comparison cannot turn an indicative proposal into a funding commitment.
The OCC handbook discusses structure, covenants and repayment terms as elements of underwriting. This optional matrix organizes a borrower’s comparison; its example terms are invented and are not market quotes or Jaken Finance Group offers.
Agree on what the numbers mean
Commitment is the total stated facility. Initial advance is the amount expected to fund at closing. Withheld fees and reserves reduce immediately usable cash in this presentation. Costs paid separately remain in sources and uses and must not be deducted a second time here.
Annual service comes from a payment schedule with its convention identified. If a proposal has interest-only and amortizing periods, enter the relevant year and attach the complete schedule. Do not compare one lender’s first-year payment with another lender’s later stabilized payment silently.
Blank comparison file
offer_id,proposal_date,commitment_usd,initial_advance_usd,fees_withheld_usd,reserves_withheld_usd,usable_closing_proceeds_usd,annual_service_usd,term_and_status
A,,,,,,,,Field instructions and common errors
| Field | Record | Avoid |
|---|---|---|
| offer_id / proposal_date | Exact proposal version and date | Combining the old rate with revised proceeds |
| commitment / initial_advance | Total facility and actual closing funding separately | Counting conditional future draws at closing |
| fees_withheld / reserves_withheld | Amounts actually deducted from the advance | Treating a refundable reserve as a permanent fee |
| annual_service | Defined year and payment model | Calling amortization an interest expense |
| term_and_status | Initial maturity, options, conditions and actual approval status | Counting conditional extensions as certain term |
Add linked schedules for recourse, cash control, release rights and prepayment mechanics. Their legal and operational consequences cannot be reduced to a reliable single score without stated judgment and actual document review.
Completed hypothetical comparison
offer_id,proposal_date,commitment_usd,initial_advance_usd,fees_withheld_usd,reserves_withheld_usd,usable_closing_proceeds_usd,annual_service_usd,term_and_status
A,2026-10-15,4500000,4000000,80000,120000,3800000,320000,Hypothetical; 3-year initial maturity; annual service input; credit and documents pending
B,2026-10-15,4200000,4200000,42000,280000,3878000,378000,Hypothetical; 5-year initial maturity; annual service input; credit and documents pendingOffer A’s $4.5 million commitment includes only $4 million at closing. After $80,000 fees and $120,000 reserves, usable proceeds are $3.8 million. Offer B’s $4.2 million initial advance leaves $3.878 million after its specified deductions.
B provides $78,000 more closing cash even though its commitment is $300,000 smaller. Its entered annual service is $58,000 higher. Neither fact alone selects the better financing: A’s later funding may be important to the business plan, while B’s larger reserve and longer initial term need their own review.
Carry unresolved terms into the decision
Use the question register for unclear fee bases, reserve releases, extension tests and funding conditions. A blank term is unknown, not free or unrestricted. Keep a separate subtotal of known costs and identify what is excluded.
Run the same exit date and downside through the detailed loan-offer tool. Include principal remaining, documented payoff assumptions and the timing of reserve returns. Do not subtract a reserve at closing and then forget a supported return in the exit model, or assume a return that the documents do not establish.
Document the reason for selection
Write a short decision note identifying the tradeoff that controls the choice: closing equity, recurring cash burden, execution conditions, maturity or flexibility. Identify the assumptions whose change would reverse that choice.
Preserve every proposal and the final accepted structure. When final documents differ, update the comparison and obtain the necessary review before relying on the earlier decision. The matrix is a traceable record of comparable terms, not a substitute for credit or legal judgment.
Sources and evidence
- OCC — Commercial Real Estate LendingPrinted pages 39–43: loan structure, covenants and coverage · Checked 2026-10-21 · Handbook version 2.0 published March 2022. Supervisory context; these original templates are optional and do not establish lender requirements.
Source dates and applicability matter. Report an error or a changed source.