Does anyone do a DSCR loan for a single property under $100K?

Billings, Montana
Creative Real Estate Financing
3yFollow

Does anyone do a DSCR loan for a single property under $100K?

Iris Olivas
Homeowner · MT · Member since 2022 · 17 posts · 15 votes

Hello!

I am wondering if anyone out there knows or does DSCR loans for a single property selling for under $100K? I have my eye on two properties. One is a 4-plex for $165K with good cashflow (CoC ~16%). There is another property that looks very good too, selling for $85K, turnkey, that would be about 16-18% CoC. I would love to be able to bundle them into 1 loan, but have not found a lender who can loan on a single property under $100k, even when bundled with the other one. Does anyone have any leads or insight on how I might be able to acquire both properties? I have enough down payment and can get a DSCR for the 4 plex, but would not be able to swing the other, even by itself. Thanks for your help!

7Reply
284 views

Most Popular Reply

Santosh Bhor
Engineer · rockville, MD · Member since 2016 · 82 posts · 15 votes
1y

Hi This post is old but if any one of you can share if you got lenders that can finance less than 100K?

4Reply
See this reply in the discussion

26 Replies

Jump to latestLatest
  • Michael Wentzel
    Investor · Colorado Springs, CO · Member since 2013 · 643 posts · 280 votes
    3y

    @Iris Olivas

    We have financed single-family homes that were under $100k and we have also bundled some of these sub $100K properties together for commcerical loans. It takes a lot of phone calls and asking around, but you can normally find a local or regional bank that is willing to work with investors on these types of properties.

    Mike

    2Reply
  • Iris Olivas
    OP
    Homeowner · MT · Member since 2022 · 17 posts · 15 votes
    3y

    Thanks for your response @Michael Wentzel!

    0Reply
  • Sanat Bhandari
    Investor · Omaha, NE · Member since 2021 · 244 posts · 163 votes
    3y

    @Iris Olivas Most local banks/credit unions can do this deal with lower fees and potentially rates than brokers. I suggest finding one of them to do it for you

    Most DSCR loans through brokers have $150,000 floor with some going to as low as $100,000. With that being said, there's very few that will do <$100,000

    If you don't find a local bank/credit union to do it for you, feel free to PM me

    1Reply
  • Iris Olivas
    OP
    Homeowner · MT · Member since 2022 · 17 posts · 15 votes
    3y

    Thanks @Sanat Bhandari!

    0Reply
  • Robin SimonBusiness Member
    Lender · Austin, TX · Member since 2022 · 5k+ posts · 4k+ votes
    3y
    Quote from @Iris Olivas:

    Hello!

    I am wondering if anyone out there knows or does DSCR loans for a single property selling for under $100K? I have my eye on two properties. One is a 4-plex for $165K with good cashflow (CoC ~16%). There is another property that looks very good too, selling for $85K, turnkey, that would be about 16-18% CoC. I would love to be able to bundle them into 1 loan, but have not found a lender who can loan on a single property under $100k, even when bundled with the other one. Does anyone have any leads or insight on how I might be able to acquire both properties? I have enough down payment and can get a DSCR for the 4 plex, but would not be able to swing the other, even by itself. Thanks for your help!


    I'd suggest finding a third property - then you should be good to go with at least a handful of DSCR lenders

    [email protected]
    Harpoon Capital514 Reviews
    WebsiteView Page
    0Reply
  • Kevin Hailstock
    Member since 2023 · 1 post · 3 votes
    3y

    I found this post and answers helpful. Thanks @Iris Olivas
    I did some searches and ended up on a site that provided state by state listings of Private Lenders some of whom did 75k and up. 

    3Reply
  • Monique Christiansen
    Member since 2023 · 1 post · 4 votes
    3y

    Kevin, would you mind sharing those lenders that do sub 100k DSCR loans? Thank you!

    4Reply
  • Charlie GonzalezPro Member
    Lender · Charlotte, NC · Member since 2023 · 70 posts · 10 votes
    3y
    Quote from @Iris Olivas:

    Hello!

    I am wondering if anyone out there knows or does DSCR loans for a single property selling for under $100K? I have my eye on two properties. One is a 4-plex for $165K with good cashflow (CoC ~16%). There is another property that looks very good too, selling for $85K, turnkey, that would be about 16-18% CoC. I would love to be able to bundle them into 1 loan, but have not found a lender who can loan on a single property under $100k, even when bundled with the other one. Does anyone have any leads or insight on how I might be able to acquire both properties? I have enough down payment and can get a DSCR for the 4 plex, but would not be able to swing the other, even by itself. Thanks for your help!


    Hi Iris, I work for a nation wide mortgage lender and we do DSCR loans as low as 75k. Please connect with me and we can talk!

    1Reply
  • Jemma Jacques
    Member since 2021 · 49 posts · 33 votes
    3y
    Quote from @Michael Wentzel:

    @Iris Olivas

    We have financed single-family homes that were under $100k and we have also bundled some of these sub $100K properties together for commcerical loans. It takes a lot of phone calls and asking around, but you can normally find a local or regional bank that is willing to work with investors on these types of properties.

    Mike

    Hi Mike, Im interested if you could send me more info pls :)
    0Reply
  • NA Carter
    Member since 2023 · 2 posts · 0 votes
    2y
    Hi charlie can you share your lenders? Under $75k DSCR 

    Quote from @Charlie Gonzalez:
    Quote from @Iris Olivas:

    Hello!

    I am wondering if anyone out there knows or does DSCR loans for a single property selling for under $100K? I have my eye on two properties. One is a 4-plex for $165K with good cashflow (CoC ~16%). There is another property that looks very good too, selling for $85K, turnkey, that would be about 16-18% CoC. I would love to be able to bundle them into 1 loan, but have not found a lender who can loan on a single property under $100k, even when bundled with the other one. Does anyone have any leads or insight on how I might be able to acquire both properties? I have enough down payment and can get a DSCR for the 4 plex, but would not be able to swing the other, even by itself. Thanks for your help!


    Hi Iris, I work for a nation wide mortgage lender and we do DSCR loans as low as 75k. Please connect with me and we can talk!


    0Reply
  • NA Carter
    Member since 2023 · 2 posts · 0 votes
    2y
    Hi Mike, I’m interested. Can you share the lenders?

    Quote from @Michael Wentzel:

    @Iris Olivas

    We have financed single-family homes that were under $100k and we have also bundled some of these sub $100K properties together for commcerical loans. It takes a lot of phone calls and asking around, but you can normally find a local or regional bank that is willing to work with investors on these types of properties.

    Mike


    0Reply
  • Santosh Bhor
    Engineer · rockville, MD · Member since 2016 · 82 posts · 15 votes
    1y

    Hi This post is old but if any one of you can share if you got lenders that can finance less than 100K?

    4Reply
  • Dalton Summers
    Real Estate Broker · Cleveland, OH · Member since 2023 · 49 posts · 32 votes
    1y

    United Wholesale Mortgage is only lender I'm aware of that allows for $100k or less for a DSCR loan. Would love to know if any other mortgage brokers are aware of other options? I had a rough appraisal on a UWM loan here in Cleveland OH and we're trying to find a new lender for this $85k DSCR cash out refi.

    2Reply
  • Oscar Padilla
    New to Real Estate · Santa Cruz CA, United States · Member since 2020 · 21 posts · 22 votes
    1y

    @Dalton SummersGood afternoon, Dalton. Were you able to find any lenders for less than 100k. Do you mind sharing contact information if you did. 

    1Reply
  • Dalton Summers
    Real Estate Broker · Cleveland, OH · Member since 2023 · 49 posts · 32 votes
    1y

    Good timing. I just recently found another lender, CV3 Financial Services, who will go as low as $75k on DSCR. Jack Robinson is my account exec.

    2Reply
  • David Bilandzija
    Lender · Venice, CA · Member since 2021 · 189 posts · 132 votes
    1y

    @Dalton Summers $50k min loan amount

    0Reply
  • Dalton Summers
    Real Estate Broker · Cleveland, OH · Member since 2023 · 49 posts · 32 votes
    1y
    Quote from @David Bilandzija:

    @Dalton Summers $50k min loan amount


    UWM has three investors for their DSCR loans under $100k loan amount. One has no minimum loan amount, another has $50k minimum, and the last has $75k minimum. They're named Yellow, Pink, and Orange, respectively.

    1Reply
  • Penny Brown
    Realtor · Atlanta, GA · Member since 2021 · 98 posts · 54 votes
    1y

    superb info! Thanks for the 2 DSCR lenders who go under 100K, United Wholesale and CV3. This is why I love BiggerPockets

    0Reply
  • Dalton Summers
    Real Estate Broker · Cleveland, OH · Member since 2023 · 49 posts · 32 votes
    1y

    I'm told Visio Lending can go as low as $75k for DSCR.

    0Reply
  • Trina Woods
    Lender · Member since 2022 · 15 posts · 3 votes
    1y

    Hi Iris! Congrats on what seems like a great deal. Would love to discuss an offer or two for your deal.

    0Reply
  • Stacy RaskinBusiness Member
    Lender · Member since 2022 · 1k+ posts · 500 votes
    9mo

    There are DSCR lenders that will lend down to $50K as long as the property appraises for at least $75K for both purchases and refinances. This is for properties that are in rent ready condition- not fix and flip condition. A minimum credit score is required- it will vary depending on the lender. Happy to connect to discuss further.

    [email protected]818-770-0340
    Bright Skyline518 Reviews
    WebsiteView Page
    0Reply
Join the conversationCreate a free account to reply, vote on answers and follow this thread.
Log InJoin for Free