Vacation Rental Investing

The vacation rental (Short Term Rental, or STR) market continues to explode, and is a great way to provide an investor with cash flow along with a place where they can spend a few nights a year themselves. Like the residential property market, specialized lenders in the STR space focus less on the borrower and more on the property. Specifically, can the cash flow cover expenses and debt.

In most cases, the cash flow on a STR property with a good location, good management, good marketing and good reviews will outperform a traditional single family rental property every single time. The key ingredient is LOCATION. Like Multi-Family and Self-Storage, we have investments in STR properties as part of our portfolio and understand the business. And while most traditional lenders will try to treat it like a “2nd home” when it comes to financing, we treat it like a cash flowing business. If you’ve thought about adding a Vacation Rental Property to your portfolio, give us a call. We’d love to hear about it!


  • Uses: Purchase, Refinance, Cash-Out Refinance
  • 1-4 Unit Single Family Residential, Condos, Townhomes
  • Loan Amounts: $45k – $2MM
  • Loan Term: 5/1 ARM, 7/1 ARM, 30 Fixed
  • LTV 75% Purchase, 70% Refinance
  • Property based DSCR based on actual rent value
  • Nationwide except: AK, AZ, DE, ID, NE, MN, ND, NV, OR, RI, SD, UT, VT
  • Minimum 680 FICO
  • Minimum 6 months of PITIA cash on hand