Investment Property Financing
Financing built for 1–4 unit rental properties so you can grow a portfolio with eyes wide open on the numbers.
How Investment Property Loans Work
Investment property financing is designed for homes you do not live in as your primary residence — think single-family rentals, small multi-units, or the next step after your first property.
Because these loans are viewed as higher risk than an owner-occupied home, guidelines and pricing are different: more emphasis on reserves, existing debts, rental income, and how the whole picture fits together. The goal is simple: structure a loan that actually supports your investment strategy instead of just “getting approved.”
Common Strategies This Can Support
- Buying a single-family home to hold as a long-term rental
- Acquiring 1–4 unit properties to build a small portfolio over time
- Refinancing existing rentals to improve terms or access equity for the next purchase
- Consolidating or restructuring higher-cost financing on existing investment properties
Key Differences vs. Primary Home Loans
- Higher minimum down payments than many primary residence options
- Rates and pricing that reflect investment risk instead of owner-occupied risk
- More focus on reserves left after closing, not just enough to get in the door
- Closer look at your existing real estate and overall debt profile
What Lenders Pay Attention To
- Your credit profile and history of managing obligations
- Debt-to-income ratio and, where applicable, how rental income is documented
- Loan-to-value (LTV) ratio and how much equity cushion exists
- Number of financed properties you already have and the strength of your reserves
How much do I need to put down on an investment property?
It depends on the loan type, units, and overall profile, but minimum down payments for non-owner occupied homes are generally higher than for a primary residence. We’ll look at several options so you can see how different down payments change your payment, risk, and projected cash flow.
Can I use projected rental income to help qualify?
In many cases, yes — when it’s documented correctly and allowed by guidelines. That might involve a lease, an appraiser’s rent schedule, or both. I’ll show you how the rental income is treated in the approval math so you’re not guessing.
Do I need an LLC to buy an investment property?
Not necessarily. Many investors hold property in their personal name, others use entities for legal or tax reasons. That’s a conversation to have with your CPA and attorney. On the lending side, we’ll structure financing around the programs that fit your goals and the way you plan to hold title.