30-year Rental Loans to LLCs. Cash out your BRRRRs w/o seasoning!
Certain Lending provides 30-year loans for 1-4 unit rentals. These loans are based on property cash flow, eliminating the difficulty of underwriting borrower income that is part of any bank loan (i.e. no tax returns, pay stubs, DTI issues, etc). There are no title seasoning requirements to refinance, and fees are reduced when you borrow bridge money from us to acquire the property.
- Loan Amount: $100,000 to $750,000 (can be larger for portfolios); minimum property value of $135,000.
- Loan Fees: 1.00-1.50pts + $1,495 (covers appraisal, processing, and underwriting)
- Interest Rate: Starting at 5%; average rates are in the high 5's to low 6's
- Loan Term: 30-year fixed rate OR 10-yr interest-only hybrid ARM
- Closing Speed: 3 weeks
- Loan to Value: Up to 75% for purchase, rate-term refinance, or delayed purchase; 70% for cash-out
- Debt Coverage: Minimum 1.20-1.25 DSCR. The DSCR calculation is 95% of Gross Rent / PITIA monthly payments. For I/O ARM loans, ITIA payment is used (which allows you to qualify for higher loan amounts).
- Minimum FICO: 680
- Borrowers: Legal US entities, including LLCs, LPs, corporations, and trusts.
- Prepayment Penalty: Standard prepay is 3-year stepdown (3-2-1). Reduced and no prepayment penalty options are also available.
- Lease Requirements: Requires leases of at least 12 months to a standard residential tenant; SFR purchases can be unleased.
- Rate buy-downs are available; get lower rates by paying more points upfront.
- Monthly payments are collected by ACH. Taxes and insurance are escrowed.
We currently lend in Alabama, Arizona, Arkansas, California, Colorado, Florida, Georgia, Idaho, Illinois, Indiana, Maine, Missouri, North Carolina, Ohio, Oklahoma, Oregon, Pennsylvania, Tennessee, Texas, and Washington. We can lend in other states if you have a portfolio that needs funding. Rural properties are not eligible.
We also short-term hard money loans to acquire and renovate the BRRRR. Click here for more details on our short-term bridge and long-term rental products.
To get started, please complete a 5-minute submission at certainlending.com.
