We make financing for apartment buildings easy.

Offering financing for apartment buildings, otherwise known as multi-family properties, is an excellent strategy for brokers to expand their business offering and client base.

To qualify as a multi-family investment property, the building must have five or more dwellings (apartments), whereas buildings with four or less units are still classified as residential 1-4 investment properties in most states.

To real estate investors, a multi-family apartment building is a solid real estate investment strategy for generating revenue since its cash flow is significantly higher than a single-family property and its operating cost is less influenced by any single vacancy.

While a larger multi-family property lowers the risk for investors, it’s important for brokers to communicate that lenders typically assign a higher risk profile to apartment building loans since the properties are harder to liquidate than smaller residential investment properties.

Lenders often use a lower LTV in financing an apartment building to offset the increased risk, so your borrower may need to provide a larger downpayment.

 

Flexible Solutions for Financing an Apartment Building.

Our residential investment property loans are asset-based not income-based, making it easier to qualify W-2 and self-employed investors for rental property financing.

If you have investors interested in financing for apartment buildings with five or more units, our asset-based mortgage programs can help you meet the needs of self-employed borrowers who often invest in multi-family buildings and write off their expenses against income.  While this is a wise tax-saving strategy for real estate investors, it reduces the borrower’s personal income and may make it difficult to qualify them for a traditional mortgage loan.

Asset-based investment property mortgage programs are an excellent alternative because they focus on the value of the property and its revenue-generating potential, thus eliminating the personal income reporting requirements of traditional loans.

Our FlexPerm loan is great option for multi-family property investors since it offers:

  • A simple financing solution on a purchase or cash-out refinance.
  • A 3-year or 8-year fixed term amortized over 30 years.
  • The flexibility to remain in the loan for up to 30 years with no balloon payment.
  • Lower monthly payments than a hard money loan.

Get the information you need.

BROKER

Expand your business by helping others do the same.

BORROWER

Connect with an investment property mortgage broker.

Expand your business by helping others do the same.

Finszar Mortgage create a unique opportunity for mortgage brokers to attract new clients and grow their business by servicing the unmet needs of independent real estate investors and small business owners. 

To learn more, simply provide your contact information here and we’ll help you get started.