I think many investors will prioritize borrower performance over the property, but good collateral is still important as a backup.

If it doesn’t work with a conservative ARV and padded rehab, I’m usually out.Big red flags are optimistic comps, tight rehab numbers, deals that only work on perfect timelines, or a weak exit (ie: we'll just refinance)What gives confidence is a strong collateral position, realistic numbers, and a borrower who understands risk and has a backup plan.

Instead, a few practical paths to consider: look at portfolio lenders or local banks/credit unions that will cross-collateralize or offer better pricing once you bring them multiple clean duplexes; selectively refinance older low-rate properties to recycle some equity while keeping DSCR conservative; or bring in limited capital partners for a few deals so you can keep 20% down and scale faster without blowing up returns.

Pricing is then simply a matter of backing into a number based on factors like note rate and desired yield...kinda like pricing a bond (for performing) or ARV, Current Collateral Value, Time to recoup the asset (deed theory or lien theory states), Required rehab, desired yield, closing/realtor costs, etc (for NPLs).

That way they are taking the equity as a kind of secured 'line of credit' that isn't coming from a second position lien.Do you have any debt on those properties or are they in a position where you could use some equity as collateral? 

For example you ARE an investor not going to be. and after that just tell everyone you know you give regular people above average returns with real estate as collateral when they ask what you do.

I think you mean a loan that uses multiple properties as collateral, which is referred to as a "Blanket Loan".

Probably either a private lender who's comfortable with the property as collateral or maybe some kind of agricultural/farm-oriented credit union (not sure where this property is located). ya this has private lender written all over it.. 

It’s a form of scenario and sensitivity analysis used to gauge risks such as borrower default, market shifts, and collateral value changes.What Stress-Testing Typically Includes1.

It’s very common for investors to later refinance multiple properties into a single portfolio loan once cash flow is stabilized and the portfolio has a track record.A true portfolio loan can absolutely include properties that aren’t adjacent — even across different states — but lenders usually look for:Strong, stabilized cash flow across the entire portfolioCross-collateralization (the properties secure each other)Consistent DSCR and operating historyFewer, higher-quality assets versus a large scattered poolSome banks and private portfolio lenders will do this, but it’s more relationship-driven and less cookie-cutter than one-loan-per-property.The tradeoff I usually explain to investors:Portfolio loan: one payment, flexibility, cleaner balance sheet — but cross-default riskIndividual loans: more admin, but easier to sell or refinance properties one at a timeMost experienced investors I work with use individual loans early on and consolidate later when scale and stability justify it.Happy to answer questions from the lending side if helpful.