Investment Property Lending

Investment property lending is tailored for investors looking to purchase properties that will generate income through rentals or capital appreciation. These properties can include residential rentals, commercial buildings, and multifamily housing units. Unlike owner-occupied properties, investment properties are solely for profit, and the lending criteria reflect the higher risk and potential reward associated with these investments.

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Types of Investment Properties

  • Residential Rentals: The Non-QM loan offerings, such as the DSCR for investors, bank statement loans for self-employed individuals, and programs accommodating high DTI ratios or credit events, empower loan officers to assist clients who might not qualify under traditional lending criteria.

  • Commercial Buildings: GMCC's special programs like the Apollo Portfolio, Cronus Jumbo, and Onyx non-QM Expanded Prime Plus, cater to specific niches, including buyers looking to purchase without selling their current home.

  • Large Multifamily Complexes: Apartment buildings with multiple units, typically more than five. These properties generate substantial income and are usually managed by professional property management companies due to their complexity.

  • Mixed-Use Properties: Developments that combine residential, commercial, and sometimes industrial uses within a single property. These properties offer diversified income streams and can be more resilient to market fluctuations.

Investment property

Key Features of Investment Property Loans

Higher Interest Rates:

Due to the increased risk associated with investment properties, lenders typically charge higher interest rates compared to owner-occupied property loans.


Down Payment Requirements:

Investment property loans generally require larger down payments, often ranging from 20% to 30% of the property’s purchase price. This helps mitigate the lender’s risk.


Loan Terms:

These loans can have varying terms, with options for both short-term and long-term financing through traditional commercial mortgage products. Terms typically range from five to 30 years, depending on the loan type and lender.


Loan-to-Value Ratios (LTV):

LTV ratios for investment properties are usually lower than for owner-occupied homes, often between 65% and 80%. This means borrowers need to have significant equity in the property.


Debt-Service Coverage Ratio (DSCR):

Lenders use DSCR to assess the property’s ability to generate enough income to cover the debt. A DSCR of 1.25 or higher is typically required, indicating the property produces 25% more income than necessary to cover the loan payments.


Commercial Mortgage Broker Services

Green Tree Lending specializes in securing financing for investment properties. They work closely with investors to understand their financial goals and find the most suitable loan products.

Key Services We Offer:

1. Loan Sourcing:

Green Tree Lending has access to a wide network of lenders, including banks, private investors, and financial institutions, ensuring they can find competitive loan options tailored to the investor’s needs.

2. Financial Consultation:

Green Tree Lending provides expert advice on the best financing strategies, taking into account the investor’s portfolio, market conditions, and investment goals.

3. Application Assistance:

T 1. hey guide investors through the loan application process, helping to prepare necessary documentation and improve the chances of loan approval.

4. Negotiation:

Green Tree Lending negotiates terms and rates on behalf of the investor, aiming to secure favorable loan conditions that align with the investor’s financial strategy.

5. Closing Coordination:

They coordinate the closing process, ensuring all legal and financial requirements are met, and the transaction proceeds smoothly.

opportunities for

Generating Income And Building Wealth

With the right financing and strategic approach, Green Tree Lending can help investors leverage these loans to acquire properties that provide steady cash flow and appreciate over time, contributing to a diversified and profitable investment portfolio.

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