Portfolio Rental Loan
For purchase or refinance a portfolio of properties or refinance and acquire properties under the same transaction
Portfolio Rental Loan
Loan Parameters:
Standard:
- Purpose:
- Purchase or refinance a portfolio of properties.
- Refinance and acquire properties under the same transaction
- Individual Loan Size
- $500K – $10MM
- Property or Unit Min/Max
- 5+ properties/units
- Term & Amortization
- 5-, 7-, or 10-year with balloon due at end of term
- Max Loan-to-Value (LTV)
- Up to 75% on purchase, limited cash-out refi, and cash-out refi
- Debt Service Coverage Ratio Minimum (DSCR)
- 15x (75% of gross rent for DSCR)
- Borrower Type
- Entity (Special Purpose Entity) Must be a Newly Formed LLC only
- Non-Owner Occupied Property
- Single Family Residence, 2-4 units, Condos, Townhomes, PUD, Multi-family (5-20 units)
- Seasoning Requirement (to use Value vs. Cost Basis)
- 180 days
- Pre-Pay Penalty
- Yield Maintenance OR Declining Points, stepping down per year as follows:
- 5yr loans: 5%, 4%, 3%, 2%, 1%
- 7yr loans: 5%, 4%, 3%, 2%, 1%, 1%, 1%
- 10yr loans: 5%, 4%, 3%, 2%, 1%, 1%, 1%, 1%, 1%, 1%
- Minimum Credit Score Requirement
- 660 FICO (all Guarantors)
Loan Parameters:
Express:
- Purpose:
- Purchase or refinance a portfolio of properties.
- Refinance and acquire properties under the same transaction
- Individual Loan Size
- $200K – $5MM
- Property or Unit Min/Max
- 2 to 20 properties/units
- Term & Amortization
- 30-year fixed
- Max Loan-to-Value (LTV)
- Up to 80% on purchase / limited cash-out refi, and 75% on cash-out refi
- Debt Service Coverage Ratio Minimum (DSCR)
- No DSCR floor < 1.00x Property LTV max of 65%
- Borrower Type
- Entity (Single Purpose Entity, existing or newly formed)
- Non-Owner Occupied Property
- SFR, 2-4 units2, Condos, Townhomes, PUD, Multi-family (5-8 units)
- Seasoning Requirement (to use Value vs. Cost Basis)
- 180 days
- Pre-Pay Penalty
- Declining Points, stepping down per year as follows:
- 3%, 2%, 1%
- OR
- 5%, 4%, 3%, 2%, 1%
- Minimum Credit Score Requirement
- 660 FICO (all Guarantors)
