Blanket Loans for Rental Property Investors

A blanket loan wraps multiple rental properties into a single mortgage with one monthly payment, one servicer, and one set of closing costs. Instead of managing separate loans for each property in your portfolio, you finance five, ten, or fifty doors under one umbrella — saving time, cutting fees, and simplifying your accounting.

Rental Home Financing structures blanket loans specifically for landlords. We don't use your personal tax returns. Every decision is based on the rental income the properties produce, your credit profile, LTV, and net worth. Loan amounts range from $75,000 to over $35 million.

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How Does a Blanket Loan for Rental Properties Work?

A blanket mortgage places a single lien across multiple investment properties. You close once, pay one origination fee, and make one monthly payment to one servicer. The lender cross-collateralizes the properties — meaning each property in the package serves as collateral for the total loan amount.

That cross-collateralization is what allows higher overall loan amounts and better rate pricing than you'd get financing each property individually. It also means less paperwork: one appraisal package, one title policy, one insurance binder covering the group.

Blanket loans from Rental Home Financing cover single-family rentals, duplexes, triplexes, four-plexes, condos, townhomes, and multifamily apartment buildings. You can mix property types within the same loan, and properties don't need to be in the same city or even the same state.

What Types of Rental Properties Qualify for a Blanket Loan?

Almost any income-producing residential investment property qualifies. The key requirement is that each property generates enough rental income to meet a DSCR of 1.0 or higher — meaning the rent covers the debt service. Here's what we finance under blanket terms:

• Single-family rental homes — the most common property type in blanket portfolios
• Duplexes, triplexes, and four-plexes — small multifamily units with strong cash flow per door
• Condo and townhome rentals — investor-owned units in warrantable and non-warrantable projects
• 5+ unit apartment buildings — commercial multifamily financed at higher loan amounts
• Short-term rentals and Airbnb properties — using 12-month income history or market rent projections
• Mixed portfolios — combine different property types and locations in one blanket

Properties can be located in different cities, counties, or states. Geographic diversification actually strengthens the loan from an underwriting perspective because it reduces concentration risk.

Blanket loans let you finance scattered-site rental portfolios across multiple states under one mortgage

How Is a Blanket Loan Different from Individual Rental Property Mortgages?

With individual mortgages, every property means a separate application, separate closing costs, separate appraisal, and separate monthly payment. That works fine when you own two or three rentals. Once you hit five or more properties, the administrative burden becomes significant — and most conventional lenders won't finance beyond four anyway.

A blanket loan solves both problems. You consolidate everything into one loan with one payment, and there's no cap on the number of properties. Here's a direct comparison:

Can You Refinance Existing Rental Properties into a Blanket Loan?

Yes — and it's one of the most common uses. If you have five rental homes with five separate mortgages at five different rates and five different payment dates, a blanket refinance consolidates all of them into one loan. You get a single rate, a single payment, and often a lower blended interest cost because larger loan amounts qualify for better pricing.

Refinancing into a blanket also lets you pull cash out of properties with significant equity. That cash can fund new acquisitions, cover renovations, or build reserves — all without selling anything. Our blanket refinance programs offer unlimited cash out up to 75% of the portfolio's combined as-is value.

Our Blanket Loan Programs for Rental Investors

We offer several blanket loan structures depending on your rate preference, hold period, and portfolio size. All programs are DSCR-based with no personal income documentation required.

How Does DSCR Qualification Work on a Blanket Loan?

DSCR stands for Debt Service Coverage Ratio. It measures whether the rental income from the properties covers the annual loan payments. The formula is straightforward:

DSCR = Annual Rental Income ÷ Annual Debt Service

A DSCR of 1.0 means the rent exactly covers the mortgage payment. A DSCR of 1.2 means the properties generate 20% more income than the payment requires. Most of our blanket loan programs require a minimum DSCR of 1.0 to 1.2, depending on the structure.

On a blanket loan, the DSCR is calculated on the portfolio as a whole. So if one property in your package runs a 0.95 DSCR and another runs a 1.4, the blended ratio across the portfolio is what matters. That portfolio-level averaging is a significant advantage for investors who own a mix of high-performing and break-even properties.

Because we qualify on DSCR, your personal income, W-2s, and tax returns don't factor into the decision. This is especially valuable for self-employed landlords and investors who take aggressive depreciation deductions. Your DSCR loan qualification is based entirely on what the properties earn.

DSCR-based qualification means your properties speak for themselves — no tax returns needed

What About the Release Clause?

A release clause is one of the most important features of a well-structured blanket loan. It allows you to sell, refinance, or otherwise remove an individual property from the blanket without triggering a full payoff or default on the remaining loan.

Here's how it works in practice: say you have eight properties under a blanket mortgage and you receive an above-market offer on one of them. With a release clause, you sell that property, pay down a predetermined portion of the loan balance, and the remaining seven properties stay financed under the original terms. No renegotiation, no new closing, no disruption.

Without a release clause, selling one property could force you to pay off the entire blanket — which would mean refinancing the remaining properties from scratch. Always confirm that your blanket loan includes a release provision before closing. All of our blanket loan programs include release clauses as a standard feature.

Who Qualifies for a Blanket Rental Property Loan?

Our blanket loan programs serve a wide range of rental property investors:

• Landlords with 5+ properties who've hit the conventional financing wall
• Portfolio consolidators looking to replace multiple individual mortgages with one loan
• Cash-out investors who want to tap equity across their portfolio for new acquisitions
• Self-employed investors whose tax returns don't reflect their actual financial position
• LLC and entity borrowers — we lend to LLCs, LPs, corporations, and trusts
• Foreign national investors — no US citizenship, SSN, or tax history required

Minimum credit score is 640 for most programs. Net worth should generally equal or exceed the loan amount. And the properties must be non-owner-occupied investment rentals — we don't finance primary residences or second homes.