Looking for lending for deals under 50k

[Dwight Crosley]

I am an investor in the Birmingham area. There are a lot of deals in the area but many of them are under the 50k minimum most DSCR lenders have. Do anyone know of lenders that go under 50k? I'm open to any and all options.

[Reginald Truss]

Dwight — you’re not crazy. A lot of DSCR / investor lenders have minimum loan sizes because the fixed costs don’t make sense below that level (it’s common to see floors around $75k–$100k, and many long-term rental programs start around $55k+).

For deals under $50k, the plays that usually work are:

1. Bundle / Blanket: finance 2–10 rentals together (or multiple closings) so the total loan amount clears lender minimums.
2. Cross-collateralize: pledge another property (or equity) so the lender’s note size is larger and risk is lower.
3. Local portfolio bank / credit union: many will do smaller balances if you’ve got deposits + relationship(especially in-market like Birmingham).
4. Seller financing (or wrap / subject-to where appropriate): common on low-price inventory and often the cleanest path.
5. Private money / short-term bridge then refi once you’ve got seasoning + stabilized rents (sometimes the bridge side also has minimums, but the structure can still work if you’re bundling).

If you want, drop the property type + strategy (buy/hold vs flip), target loan amount, and whether you have another property to cross-collateralize and I’ll tell you the cleanest route.