Private Financing Solutions for Investment Properties
Our team provides private funding for real estate investment projects across the nation. We offer loan terms of up to 30 years, fast closings, and zero upfront fees.
Specialized Commercial Loans | Hard Money & Portfolio Options?
Investment Property Loan Rates
Investment properties can be a powerful way to build wealth. By purchasing a rental property at the right price and securing the best financing, you can begin generating positive cash flow quickly.
Private mortgage rates are typically 0.5% to 0.75% higher than conventional loan rates (Source). Rental property mortgage rates can vary depending on factors such as the loan term, loan-to-value (LTV) ratio, property condition, location, and the overall risk assessment of the investment. Unlike traditional lenders who often focus primarily on owner-occupied homes, many do not offer financing for investment properties.
Since “non-owner occupied” properties carry more risk, lenders usually charge higher interest rates compared to primary residences.
At Crestico, our rental property loan rates start as low as 7%. However, your exact interest rate will depend on several factors—including the type of property, your credit profile, and the size of your down payment.
Buying a Rental Property
Buying a rental property is a popular investment strategy, offering positive cash flow, appreciation, and tax benefits. Loans typically require a 25% down payment, though equity or cash-out refinancing can help. Lenders also expect investors to maintain reserves for vacancies, repairs, and unforeseen expenses to ensure financial stability.
Refinancing Investment & Rental Property Loans
Crestico also offers real estate investors the option to refinance investment and rental properties. This allows borrowers to access their equity, secure a lower interest rate, or pay off an upcoming balloon payment.
Investment Property Rehab Loans
Crestico provides rehab loans for investors to purchase, renovate, and quickly resell properties, as well as fix-and-hold loans for those seeking rental income. With fast approvals and funding, Crestico helps real estate investors secure opportunities, complete projects efficiently, and maximize returns on investment property deals nationwide.
Ways to Get Financing for an Investment Property
What You Need to Qualify
To qualify for an investment property loan, you’ll typically need a down payment ranging from 20% to 40% of the purchase price. If you’re applying for a cash-out refinance, lenders will look for substantial equity in the property. The larger your down payment or equity, the stronger your loan application will be, as this reduces the lender’s risk.
Beyond equity, lenders also evaluate your experience in real estate. Investors with a history of successful deals generally find the approval process easier, while first-time investors may undergo closer scrutiny. Having a clear strategy for managing the property, whether flipping for profit or holding for rental income, can strengthen your case.
In addition, lenders may review your credit history and cash reserves to ensure you can handle loan payments, property expenses, taxes, and unexpected costs such as repairs or vacancies. Demonstrating financial stability and preparedness shows lenders you’re capable of managing the investment responsibly.
At Crestico, we work with both new and experienced investors to design loan programs that fit their goals. By combining a solid financial foundation with the right strategy, you can position yourself for approval and move quickly on profitable opportunities.
Frequently Asked Questions (FAQs)
What are the ways to finance an investment property
For a purchase, you’ll need a minimum down payment of 20%. For a cash-out refinance, the property should have a value of at least $150,000 and a current loan-to-value (LTV) ratio below 70%.
Can I get financing for my first investment property?
Yes. If you’re a first-time investor, we offer tailored programs designed to help you get started in real estate. Simply reach out to us for more details—our team is here to guide and support you.
Is it possible to buy an investment property with less than 20% down?
The minimum down payment required is 20%, though a larger amount may be necessary depending on the property’s type and condition. Once we receive your initial documentation, our underwriters typically provide a decision within 24 to 48 hours.
Can an LLC qualify for a loan?
Yes, LLCs and corporations can qualify for investment property loans with Crestico.
Are interest rates higher on rental property mortgages?
Rates for investment property loans are generally higher than those for primary residences. On average, you can expect them to be about 0.55% to 0.77% above standard mortgage rates.
What’s the process for getting a loan to flip a house?
We’re here to support your investment goals by providing funding for your project, whether you’re a first-time or experienced investor. The process is simpler than you may think—if you can provide a down payment of 20% to 30% along with the required documentation, you can get approved, even with less-than-perfect credit.
Do you offer financing for land purchases?
Yes, we offer land and construction financing. Loan amounts range from $100,000 up to $50 million, with a minimum land or lot value of $150,000 required. Loan-to-Cost (LTC) ratios typically range from 55% to 85%, depending on your credit profile and level of experience.