What Is a Portfolio Mortgage?

what is a portfolio mortgagePortfolio mortgages are loans that are kept on the books instead of being sold. The significance of this to borrowers is that by not being sold on the secondary market, originating lenders can draft more flexible criteria for qualification. By relaxing qualification requirements, you can get access to money that would be denied to you elsewhere.

The Rundown on Portfolio Mortgages

Portfolio mortgages are held in the lender’s investment portfolio and are not sold on the secondary market. As such, they are not subject to the much more stringent terms that you’ll encounter with conventional lenders like banks. By not being held to the same standards, lenders that work with portfolio mortgages can make it easy for you to qualify.

Stated Residential Investor – 1- 4 Family Requirements

Rental Home Financing now provides a stated program for residential rental properties that does not require borrower tax returns to conform to a global underwrite. We like to see a minimum FICO score of 620 and will base the underwriting off of the asset(s). Typical guidelines are as follows:

Financing for 1 to 4 units investment/rental units free standing or attached duplex, triplex and fourplex properties. “blanket mortgage” funding available for multifamily apartment properties.

  • 30-year amortization
  • Property identification (application)
  • Credit report with middle score of 650
  • Maximum LTV of 75%
  • No rehabilitation or construction costs financed.
  • Will finance completed properties as a take-out/permanent mortgage funding.
  • Borrower may use “stated income” - No personal debt to income ratios. No global underwrite.
  • Appraisal done by a National Appraiser Service with average cost in the $400 to $600 range/property.
  • 1 – 3% lender origination points.
  • Property tax and property insurance impounds are required.
  • 3/30 - 5/30 - 7/30 - 10/30 / 30/30 Fixed Rates
  • Prepayment penalty is 3% for 1-4 unit deals and 5% for commercial. Borrower can pay off 20% of equity in any 12 month rolling period without triggering prepayment penalty. Example: 3 year fixed loan, a borrower can pay off 60% of principal without triggering penalty.
  • Prepayment penalty can be bought down options available.
  • 2% max gift allowance of total loan amount.
  • First time buyers can be allowed

BOTTOM LINE - STATED INCOME LOANS = EASY APPROVAL & CLOSING

Rental Home Financing offers commercial stated income mortgage loans in most locations including:

Central StatesNorthern StatesPacific StatesSouthern StatesWestern States
Illinois Connecticut Arizona Alabama Colorado
Indiana Delaware California Arkansas Idaho
Iowa Maine Nevada Florida Kansas
Kentucky Maryland Oregon Georgia Montana
Michigan Massachusett Utah Louisiana Nebraska
Minnesota New Hampshire Washington Mississippi New Mexico
Missouri New Jersey   North Carolina North Dakota
Ohio New York   South Carolina Oklahoma
Wisconsin Pennsylvania   Tennessee South Dakot
  Rhode Island   Virginia Texas
  Vermont   West Virginia Wyoming

Call us today – 1-888-375-7977 and speak with one of our qualified representatives.

NO-LIMIT INVESTOR PORTFOLIOS

There are no limits on the number of properties your portfolio may include; whether 1 or 3,000, we likely have a solution.

We are now working with the best of breed and savy investor for the most competitive rates available today. Our group is actively searching for the best opportunities to fund in the rental housing market business in most states in of the USA. Loan Amounts ranging $500,000 to $50,000,000+.

New for 2018...Over 5.5 billion under management. We are proud to be providing the first wave by providing a much needed product for investors with sensible underwriting. Rate range between 5.5% - 7.5%

Currently there is no limitation on the number of properties that can be included within the portfolio. Conservative, common since underwriting is used to determine loan proceeds and interest rate.

Contact one of our qualified representatives for more details on this ever evolving product.

We do offer lines of credit for those well qualified sponsors and property managers looking grow towards hundreds of rental and apartment properties.

Rates for Investment Property - Houses - Condos - Apartments - Town-houses:

TermTypeIndexPrepay prd.RecourseMax LTVMin. DSCRAmort.
5 years* Fixed 5-year Swap Options Non-recourse 60% 1.2x 30 years
5 years* Fixed 5-year Swap Options Full recourse 75% 1.2x 30 years
10 years* Fixed 10-year Swap Options Non-recourse 60% 1.2x 30 years
10 years* Fixed 10-year Swap Options Full recourse 75% 1.2x 30 years
  • From $50,000 - $50,000,000+
  • 30 Year Amortization
  • 5 -10 - 30 Year Fixed Rates
  • Up to 75% LTV
  • Competitive Market Rates
  • Non-Recourse options
  • Unliminted Cash Out
  • Prepayment options
  • Minimum 630 Credit Score