Non-recourse portfolio loan?

[Phil Morgan]

Is a non-recourse portfolio loan a thing? I am asking because I have a few buildings that we purchased using normal bank financing which that we would like to transfer into a portfolio loan. I know non-resource only applies to larger loans but since this group of properties total over a million dollars it might quality. Has anyone does this before?

[Andrew Postell]

@Phil Morgan A nonrecourse debt is a type of loan secured by collateral, which is usually property. If the borrower defaults, the issuer can seize the collateral but cannot seek out the borrower for any further compensation, even if the collateral does not cover the full value of the defaulted amount.

For residential real estate you should only be seeking nonrecourse loans.  I can't speak for every bank but all of the portfolio loans that I have experience with have been nonrecourse.  

Are we talking about 1-4 unit properties?  Are you looking for a specific type of portfolio loan or something like that?

Maybe providing a little more information might help me guide you in the right direction.  Tag me with any other questions.  Thanks!