How is private (hard money) lending different from a bank loan?

We are asset-based, which means we underwrite the property, its equity, and your business plan rather than your personal income and tax returns. That lets us fund in days instead of the 30 to 60+ days a bank takes, on short interest-only terms built around a flip, refinance, or sale. You pay a higher rate than a bank in exchange for speed, flexibility, and certainty on deals a bank cannot fund in time.

How fast can you close?

Fix and flip and residential bridge loans typically close in 5 to 7 days once we have your basics. Rental (DSCR) loans usually take 2 to 3 weeks because of the appraisal and rent verification, and SBA financing runs 30 to 90 days. The biggest variable is how quickly title, insurance, and your documents come together.

Do you check credit, and is there a minimum score?

We do run credit, but on our asset-based loans it carries far less weight than at a bank, and weaker credit can often be offset with a larger down payment or lower leverage. There is no personal income test on these programs. Credit matters most on long-term rental loans, where we look for a 640 minimum and it affects your rate and leverage.

Do I need to provide income documents or tax returns?

Generally no. Our bridge, fix and flip, and construction loans qualify off the property and your equity, and our DSCR rental loans qualify off the property's rent, so we do not ask for W-2s or pay stubs. We will want to see bank statements or proof of reserves. SBA and conventional investment loans are the exceptions and are fully documented.

What do you need to give me a quote?

Just the basics of the deal: the property address or type, the purchase price or current value, your rehab budget, the loan amount, and your exit plan. We can often pre-qualify you over the phone or through a short application and issue a proof-of-funds letter before you are even under contract.

What is a point, and how do your rates compare to a bank?

A point is an upfront fee equal to 1% of the loan amount, and origination on private loans typically runs 1 to 3 points. Our rates are higher than a bank, generally in the high single digits to low teens depending on the program, because the loans are short, fast, and flexible. When you compare offers, weigh the rate and the points together as your true cost of capital.

Strategy · 5 min read

How to Scale a Rental Portfolio

The short answer

Growing past a few rentals runs into financing limits. Learn how DSCR loans, the BRRRR method, and portfolio loans let investors keep scaling.

Scaling a rental portfolio is mostly a financing problem. The way to grow past the point where conventional limits and your debt-to-income ratio stop you is to switch to business-purpose loans that qualify on the properties, not on you.

The wall most investors hit

Conventional lenders cap the number of financed properties and weigh your personal debt-to-income ratio. After a few doors, the next loan gets hard, even when your real cash flow is strong. That is the wall.

The financing playbook to scale

DSCR loans qualify on each property's rent, with no property-count cap, so you keep adding doors.
The BRRRR method recycles the same capital across deals by refinancing your cash back out.
Portfolio (blanket) loans roll several rentals into one loan with a single payment, simplifying your debt and freeing capital.

Hold properties in entities

Holding rentals in LLCs keeps liability and books clean and is standard for these loan types. As you grow, a portfolio loan can consolidate them.

The mindset shift

Stop qualifying as a consumer and start qualifying as a business. Once the assets carry the loans, the constraint becomes deal flow, not your personal balance sheet.

Frequently asked

How do investors finance more than 10 rentals?

By moving to business-purpose loans like DSCR and portfolio loans, which qualify on the properties rather than counting against conventional property limits or your debt-to-income ratio.

What is the fastest way to scale a rental portfolio?

The BRRRR method, recycling the same capital by refinancing it back out after each deal, combined with DSCR loans that have no property-count cap.

Should you hold rentals in an LLC to scale?

Most investors do, for liability separation and clean books, and because DSCR and portfolio loans are built to close in an entity's name.

Rates, leverage, and timelines mentioned in this guide are typical figures, subject to underwriting and market conditions. Not a commitment to lend. Nothing here is legal, tax, or investment advice.

Related programs

Rental / DSCR Portfolio Loans

Compare your options

DSCR Loan vs Hard Money Loan DSCR Loan vs Conventional Loan

Ready to put this to work?

Get real terms, usually same day. No obligation, no hard credit pull to start.

Apply now Talk to us