Refinance - Investment Property Options

Investment property loans usually depend on two things: the no of units within a property, and the use of a property as a principal residence. Furthermore, there are two types of investment property loans; residential and commercial. The standards for the lending of loans for the above two segments are significantly different. It is important to understand the difference between the two before contemplating getting a loan.

Residential Loans are for properties that provide dwelling for families or individuals, and are comprised of four units or less. The loans are made on standards such as: Debt to Income, Credit Score, Loan to Value (LTV), and Landlord experience. After the sub-prime mortgage crisis the standards have become quite stringent resulting in the dropping of LTV ratio from 125% to 70%- 80% range. Land experience, although not a requirement, can affect your ability to get a loan.

Commercial loans on the other hand, are designed for properties with 5 units or more, and other non-residential investment properties. The rates are usually higher and time lengths of loans are shorter. The standards for commercial loans are similar with the exception of addition of one major standard in the form of Debt Service Coverage Ratio (DSCR). The degree and extent to which the standards are applicable to commercial loans is also varied.

The qualification process for commercial loans focuses on the income and cash flow generated from the property, unlike residential loans where your personal income and profile have precedence. This is based on the premise that commercial properties are often larger in size, and if the borrower is unable to make the payments, the property should be able to cover for itself. DSCR ratio which equals net operating income/debt service is the primary tool used by the lenders in determining the ratio of cash flow to expenses of a particular property. A commercial lender typically likes to see a DSCR of 1.2, meaning that after all the expenses are paid, there is at least 20% cash flow profit on top.

Until now, the information we have covered, pertains to conventional mortgage loans, that is, a loan with a fixed interest rate and a fixed period of time. When we think of conventional loans, we usually associate them with large financial institutions such as banks. But unfortunately, not everyone is able to meet the stringent requirements of large financial institutions usually due to the credit profiles that do not yield a high enough credit score. In this event, unconventional loan may be the only option available to investors who are financially sound but have hit a financing wall with conventional funding, and that is where we come in.

We not only provide conventional loans but also specialize in providing unconventional mortgage loans with varying guidelines, terms and conditions. Based on different investor profiles and needs, we have six different "Non Owner Occupied" Loan programs ranging from short term property loans for flips, and foreclosures, to jumbo and more conventional portfolio loans with special terms and conditions for investors with excellent profiles. More details of the options available to you are in the link below.

Investment Refinance Loans - Guidelines and Highlights.

Below is a list of some of our Refinance "Investment Property" loan programs.

Let us know if you have any questions. Do not try to pre qualify yourself; call Customer Service 858-222-7534 to speak with a Mortgage Expert or fill out a Pre Qualification form.

Title Modified Date
Alternative Income Documentation Jumbo Program 01 November 2019
Portfolio Jumbo - Stated Income 01 November 2019
Hard Money Loans 09 January 2020
Portfolio Jumbo Low Doc - One Year P&L Statement Only 01 November 2019
24 Months Bank Statements Business or Personal 01 November 2019
Bank Statements | Jumbo Mortgage - Interest Only 18 January 2020
Non-Qualified Mortgage (Non-QM) | Jumbo Program 18 January 2020
6 Month Bank Statement Mortgage Loan 01 November 2019
Bank Statements / Asset Depletion to 3 Million 18 January 2020
Bank Statement Loan to 3.5 Million 18 January 2020
No Ratio Investor Loan Jumbo 18 January 2020
DSCR 1.5% Jumbo 18 January 2020
12 Month Bank Statement Alt Doc 18 January 2020
Super Jumbo Investor Loan 18 January 2020
6 Month Bank Statement Mortgage 18 January 2020
Stated Income Jumbo - 740 Credit Score 18 January 2020
Investor Mortgage Program 18 January 2020
Portfolio Mortgage Programs 19 January 2020
Investor Purchase Loan Program 19 January 2020
Asset Depletion Super Jumbo Mortgage 19 January 2020
95 Percent Financing 600 Credit Score 19 January 2020
Nontraditional Credit Loan 18 January 2020
Jumbo 1.2 Million Southern Ca 01 November 2019
80% Financing Stated Income / Stated Assets 19 January 2020
Stated Income Verified Assets Owner-Occupied Jumbo 19 January 2020
Hard Money Super Jumbo Florida 09 January 2020
First Time Home Buyer Jumbo loan 01 November 2019
Stated Income Verified Assets to 70% LTV Owner Occupied 01 November 2019
Bank Statement Loan 600 Credit Score 01 November 2019
Jumbo Investor Loan 75% LTV 720 Credit Score 01 November 2019
Vesting Title in Legal Entities 10 January 2020
Stated Income / Verified Assets Super Jumbo 01 November 2019
Asset Qualifier Jumbo Loan 18 January 2020
True No Doc Home Loan 01 November 2019
Inherited Property Loan Program 01 November 2019
Jumbo Hard Money to 3 Million 80% LTV 09 January 2020
Hard Money 5 Million Owner Occupied 18 January 2020
Bank Statement Loan 580 Credit Score 01 March 2019
Investor Loan - No Doc 16 November 2019
Private Money 70% LTV 01 November 2019
Bank Statement Super Jumbo Loan 01 November 2019
Stated Income Jumbo Construction Loan 1 Million 28 February 2019