Blanket Loan for RE Investor

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Investors…Financing Designed For Your Needs

The Investor Blanket Mortgage for Residential Properties is FINALLY HERE!

The residential investor blanket mortgage is probably the most important loan to come out since the ’08 financial crash. The investor blanket mortgage allows investors in residential properties (single family, duplex, condos, non-warrantable condos) and even apartment buildings to combine them into ONE loan. The investor blanket mortgage is put in an LLC name and can even be NON-RECOURSE! The private money guys have tiptoed into this type of loan with a 3-year fix/5-year fix/7-year fix/ 10-year fix with 30-year amortizations for the buy and hold investor or interest-only payments for the short term investor.
Investors seeking a Blanket Mortgage, check out my video.

What does this mean to the market and to you?

– In the old days, the investor blanket mortgage requirement was the properties had to be located within the same neighborhood of one another. Today’s blanket loan products allow the properties to be located in the same state and even nationwide. This is huge!

– Investors can now pull cash out, consolidate and, clear out all their properties into one LLC. This frees them up to get regular conventional FNMA financing for new purchases again (currently, few lenders will allow an investor to get this financing if they already have 4 FNMA loans.). This can re-energize the purchase market.

– People who have renovated homes can tap that equity up to 75% to invest in other wealth creation vehicles including buying more real estate, stocks, whatever they want.

– Great for Non-Warrantable Condos or Condo Conversions

Basic Blanket Mortgage Product Guidelines

The property is underwritten, not the borrower. No personal income verification is required. The property is underwritten on property cash flow. So you can show losses on your tax return and, still qualify as long as the properties cash flow 3 year
Must be 2 units or more because this is a COMMERCIAL loan, the loan will be to a business entity.
Property Types single family, condo, duplex, and apartments.
No commercial properties like office condo etc. in this mix.
Credit is important; a 650 to 680+ credit score is generally required
5% reduction in loan to value if credit score below 680
LTV up to 75% of purchase price or appraised value, whichever is less.
Properties must be leased up.
Foreign Nationals are allowed at 60% but, if they include a US citizen in the mix, they can get 75% Financing as well!
Non Recourse available
Loan amounts are $100,000 minimum which means the purchase price or the appraised value is around $135,000.00 dollars or higher
Minimum Property Value/Purchase Price: $50K on Single Family and $40K/door for Apartments Dwellings
Maximum units 100
Must have Liquid Cash Reserves
Full recourse is required up to $3 million but, non-recourse is available above $3 Million.
Must own a primary residence
First-time investor not allowed

Foreign Nationals

Investors level of experience in last 36 months
Closing funds and reserves must be from a US bank account
Valid Passport from country of origin
Valid US Visa (if not subject to Visa Waiver Program)
Individual Taxpayer Identification Number (ITIN)
Employer Identification Number (EIN)
Required when vesting in the name of a US Legal Entity
If do not have credit will be less than 60% LTV

Terms Available

Interest Only Term Available

1 year, 2 years
The minimum loan amount is $500,000.00 dollars
Prepay Penalty/ minimum interest requirement: None (1yr), minimum of 8 mos. interest paid

Fixed Rate Term

3-year fix, a prepayment penalty for 3 years (currently not available)
5-year fix, a prepayment penalty is for 5 years
10-year fix, a prepayment penalty is for 10 years
1 to 2 year Bridge available.
20 to 30-year amortization