Simplify Your Financing by Securing a Blanket Loan for Multiple Rental Properties

Want more rental income? Get a blanket loan. It’s one loan that finances multiple properties. This simplifies things and boosts rental profits.

First, shop around for the best terms. Comparing lenders gets the lowest rates and most flexible repayment. Look for discounts on multiple properties too. That saves money later. Also check loan-to-value ratios, repayment options, closing costs, and prepayment penalties. Know what you’re getting into upfront. 

Do your research. Compare options. This finds the perfect lender and loan for your needs. With the best terms, you can finance multiple rentals easily.

A blanket loan makes financing simple. No need for separate loans on each property. And your rental income goes up with multiple properties covered by one loan. 

Look around, find the ideal loan terms, and make more money from your rental properties. A blanket loan streamlines financing and leads to bigger rental profits.

Find a Lender who Offers Blanket Loans

When financing multiple rental properties, I always recommend looking into blanket loans. Also called portfolio loans, they’re single loans that cover all your investment properties. So instead of separate payments for each, you make one easy monthly payment. Blanket loans streamline financing multiple rentals.

I’ve used them for years to fund purchasing groups of 2-3 bedroom homes, condos, and duplexes together. The consolidated structure is a huge help for managing my finances and investments.

When researching blanket loans, I compare options from local banks and online lenders. Local banks sometimes have competitive rates. But online loan companies, typically mortgage brokers, often provide more flexibility on things like credit requirements. I evaluate and contrast interest rates, all fees, repayment terms, and customer service reviews.

I also ask lenders about their specific experience with blanket loans. As an underwriter told me: “We’ve funded thousands of these loans, so we can walk investors through the process seamlessly.” I want a lender well-versed in this type of financing. Their expertise helps ensure I get the optimal terms and loan program.

Local banks and credit unions are worth considering. Many have blanket loan products designed for financing multiple investment properties. This conveniently combines everything into one loan, with unified terms, payments, and fees I only have to track in one place. 

With local lenders, you may be able to build relationships over time that make the loan process smoother. But some banks are less flexible on certain criteria, like credit score minimums or debt-to-income ratios. Ask upfront about all requirements, costs, LTV limits, etc. And scrutinize the fine print before deciding.

Another choice is specialized portfolio lenders. They underwrite large real estate portfolios daily. So they can often beat local bank rates. However, portfolio lenders tend to want experienced investors with a proven track record. As a newer real estate investor, I needed to build my resume first.

Hard money lenders provide speedy financing when traditional lenders fall short. Like for short-term investments or fixer-uppers. But their rates are higher thanks to the increased risk.

I always get pre-approved before seriously house hunting. This confirms what I can afford and ensures funds are ready when I find deals. Some blanket loans let you tack on extra properties later too.

Do your homework to choose the right lender and loan program for you. I spend time comparing multiple options to get the best rates, terms, fees, and flexibility. Having the ideal blanket loan makes financing multiple rentals a breeze.

When reviewing lenders, verify they’re licensed and read customer feedback. Ask questions to fully grasp loan requirements, costs, features, and more. And work with an experienced mortgage broker to save time and negotiate great terms.

To get pre-approved, be ready to provide financial information like income, assets, debts, credit history and scores. Lenders may also request tax returns and projected rental income. Requirements vary by lender.

At traditional banks, excellent credit and 20% down payments are often required. But wholesale lenders that brokers use can be more flexible on those fronts. Though it may require a detailed exit strategy for loans under 7 years.

Putting in the work upfront to get pre-approved and select the right lender sets you up for smooth sailing with blanket loans. I’ve easily grown my rental portfolio thanks to their straightforward consolidated structure. Blanket loans simplify financing multiple investment properties.

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