RESIDENTIAL PORTFOLIO LOANS

Discover the knowledge and tools you’ll need to develop a systematic approach to evaluate real estate investments and make informed decisions about your investment portfolio.

RESIDENTIAL PORTFOLIO LOANS

PURPOSE

Non-Conforming FLEX and Conforming Portfolio Loans are recommended for borrowers intending to hold a portfolio of 5 or more properties for 5 or more years before selling or refinancing. This is a single loan collateralized across multiple residential 1-4 unit and/or multifamily 5+ unit properties. Income producing properties must be performing at a DSCR of 1.0x or more. Minimum two properties per loan for Express product financing.


RECOURSE

Recourse and Non-Recourse options available.


PREPAYMENT PENALTY

All Residential Portfolio Loans have a prepayment penalty, usually through the first 5-years of the loan. Step-down and yield maintenance prepayment options are available.


LOAN LIMITS

Residential Portfolio Loans are available for 1st mortgages starting at $500k.


CLOSING

45 to 60 Days


RESERVES

6 to 9-months mortgage reserves are required.


NET WORTH

A strong schedule of real estate owned is important but not required.


LOAN TERMS & AMORTIZATION

1-4 Unit & Multifamily Portfolios: 5 to 30-year fixed terms. 15 and 30-year amortization.


FULL-TERM, BALLOON, AND HYBRID

Loans can be structured as full-term, balloon, and hybrid. Full-term loans amortize over the life of the loan, and are paid in full upon loan maturity. Balloon mortgages are fixed-rate loans with a balloon payment due at the end of the initial term. Hybrid loans have a fixed-rate for the initial fixed term, then adjust annually or semi-annually through the remaining loan term. For example, a 5-year fixed hybrid mortgage is fixed for the initial 5-years, then adjusts annually or semiannually through the remaining 30-years. A 5-year fixed balloon mortgage is fixed for the initial 5-years, with the loan balance due in full at the end of the 5-year period. A 30-year fixed mortgage is fixed for the entire 30-years, paid in full at loan maturity.

Full-Term: Higher rate providing the most security. Loan is fixed for the entire loan term.

Balloon: Lower rate than a full-term loan. Property must be refinanced or sold by the end of the term.

Hybrid: Lower rate than a full-term loan. Borrower has the benefit of a low fixed-rate loan during the initial term, can ride the adjusting rate after the initial fixed-term through loan maturity, or sell/refinance.


CREDIT SCORE REQUIREMENTS

640+


OPERATING INCOME – SEASONING

Approval and interest rates are primarily based upon the net operating income of the property and LTV. The property must show it has been operating at a net operating income over the last 3-months to support the DSCR at the proposed market interest rate. 


DOCUMENT REQUIREMENTS

  • FULL or LITE-DOC UNDERWRITING
  • Rent Roll
  • P&L / Last 12 to 24-months
  • Borrower 1003 or Personal Financial Statement
  • Schedule Real Estate Owned
  • Bank Statement(s) Verifying Down Payment/Reserves
  • Minimum 3 Quality Property Photos
  • No tax return options available

Key Portfolio Rental Loan Product Facts:

  • Commercial loan underwritten on property cash flow
  • No personal income verification
  • Looking to Refinance an existing Portfolio loan?
  • No limit to the number of properties that can be financed
  • Designed for buy-and-hold investors

GET STARTED

(857) 529-8555

Weekly Rate Update

Sign up for weekly rate updates, loan programs, loan programs and market news emailed to you weekly.

Name
This field is for validation purposes and should be left unchanged.

Standard Portfolio Rental Loans
Loan PurposePurchase or refinance a portfolio of rental properties

Refinance and acquire properties under the same transaction
Borrower TypeEntity (Special Purpose Entity)
Must be a Newly Formed LLC only, unless LLC was used exclusively for a previous loan transaction
Equity PledgePledge of Equity from the owner is required
Interest RateCall for quote
Term5-, 7-, or 10-year with balloon due at end of term
AmortizationFull amortization up to 30 years, with interest-only option available
Minimum FICO660 (all Guarantors)
Maximum Loan-to-Value (LTV)Up to 75% on purchase, limited cash-out refi, and cash-out refi3
Loan Amount$500K – $10MM
Property or Unit Acquisition Minimum5 units per loan
ExperienceNo first-time homebuyers
Foreign NationalsNot allowed from ineligible country list
LTV is limited to 65%
Property TypeNon-Owner Occupied:
Single Family Residences (SFR)
2-4 unit residences
Condominiums: warrantable and
non-warrantable (with reduced leverage)
Townhomes
Planned Urban Developments (PUD)
Multi-family, 5-20 units
Express Portfolio Rental Loans
Loan PurposePurchase or refinance a portfolio of rental properties

Refinance and acquire properties under the same transaction
Borrower TypeEntity (Single Purpose Entity, existing or newly formed)
Equity PledgeNo Equity Pledge required
Interest RateCall for quote
Term30-year fixed
AmortizationFull amortization
Minimum FICO640 (all Guarantors)
Maximum Loan-to-Value (LTV)Up to 80% on purchase / limited cash-out refi, and 75% on cash-out refi
Loan Amount$200K – $5MM
($100K minimum property value)
Property or Unit Acquisition Minimum2 units per loan
ExperienceNo first-time homebuyers
Foreign NationalsNot allowed from ineligible country list
LTV is limited to 70% on purchase/limited cash-out and 65% on cash-out
Property TypeNon-Owner Occupied:
Single Family Residences (SFR)
2-4 unit residences
Warrantable condos
Non-warrantable condos (max 65% LTV)
Townhomes
Planned Urban Developments (PUD)
Multi-family, 5-8 units

GET STARTED

(857) 529-8555

Weekly Rate Update

Sign up for weekly rate updates, loan programs, loan programs and market news emailed to you weekly.

Name
This field is for validation purposes and should be left unchanged.

Got 3 minutes?  Request a custom quote today!

Provide some basic information about the property and the financing you’re seeking and through our proprietary lending platform ICSCRE we’ll provide you with the most competitive quotes available.

It’s really that simple.

Private. Confidential. Secure. We never sell or provide your personal information or email address to unrelated third parties.

NOT READY TO GET A QUOTE TODAY?

Schedule a quick call to discuss your loan scenario!

Weekly Rate Update

Sign up for weekly rate updates, loan programs, loan programs and market news emailed to you weekly.

Name
This field is for validation purposes and should be left unchanged.

Call Me Today!

(857) 529-8555

Daniel J. Vieira

Commercial Loan Advisor

ICS Commercial Lending

[email protected]