Rental Loans Chicago, IL

What type of rental loan rates near Chicago, IL are offered by LendingOne?

LendingOne offers both fixed a 30-year rate starting at 5.49% and hybrid adjustable rate mortgage, 5/1, 7/1, and 10/1 starting at 4.99%. All rates are based on individual property and borrower. Call us to learn more at 866-918-1974

What type of properties are eligible for rental loans offered by LendingOne?

The following property types are eligible for our rental loans:

• 
  Single Family Residence (SFR)
• 
  2-4 Unit Properties (LTV cannot exceed 80%)
• 
  PUDs
• 
  Warrantable condos must meet Fannie Mae warrantability requirements (LTV cannot exceed 70%)
• 
  Townhouse
• 
  2 acres maximum
• 
  Non-warrantable condominiums not allowed

What is the minimum and maximum loan amounts for rental loans near Chicago, IL offered by LendingOne?

LendingOne rental loans have a minimum loan amount of $75K and a maximum loan amount up to $2M.

What states does LendingOne offer its rental loan products?

LendingOne provides lending in all States and District of Columbia except Alaska, Nevada, North Dakota, South Dakota, and Utah.

What is the minimum FICO score for LendingOne’s rental loans?

LendingOne’s rental loan FICO score minimum is 640. Tri-merged credit report is required for all personal guarantors and determined as follows:

• 
  If 2 credit bureau scores are reported, the representative score is the lower score; and
• 
  If 3 credit bureau scores are reported, the representative score is the middle score.
• 
  Foreign Nationals without an ITN are not subject to FICO requirements

What type of documentation is required for LendingOne’s rental loans near Chicago, IL?

LendingOne requires the following documentation from borrowers interested in our rental loans:

• 
  LendingOne’s online application, completed by borrower
• 
  1-month bank statements
• 
  A list of properties you currently own (a REO Schedule)
• 
  No Tax Returns Required
• 
  Lease(s) – (if currently rented)
• 
  Certification of Business Purpose/Non-Owner Occupied Affidavit
• 
  Sales Contract (on purchase)
• 
  LLC Operating Agreement or Articles of Corporations
• 
  Driver’s License

Other documents and/or materials may be requested based on the individual borrower’s circumstances and collateral.

Who is eligible for our rental loans?

Our rental loans are available to the following borrowers:

• 
  U.S. Citizens
• 
  Permanent Resident Aliens
• 
  Non-permanent Resident Aliens
• 
  Foreign Nationals
• 
  LLCs, Limited Partnerships, General Partnerships, Corporations

What is Debt Service Coverage Ratio?

Debt Service Coverage Ratio (DSCR) is a calculation that helps us determine if a rental investment is generating enough income to make its loan payment obligations.

DSCR is calculated by the following simple formula:

• DSCR = Monthly Gross Income
• PITIA*

*Principal, Interest, Taxes, Insurance and Association Fees.

What are the cash out eligibility and restrictions?

The cash out eligibility and restrictions are the following:

• 
  3-month seasoning from note date
• 
  Delayed Financing Exception per FNMA permitted and prior Bridge Loans with LendingOne qualify.
• 
  Loans not eligible for cash-out: Properties listed for sale by the borrower in the past three months.

Does my rental property have to be leased before closing?

The following are the lease requirements:

• 
  An executed lease with no less than 3 months remaining at time of close
• 
  Unleased properties the gross rents indicated on the 1007 may be used
• 
  Gross income is the lower of actual rents and market rent as indicated on Form 1007

Can I live in one of my rental properties or rent it to a family member near Chicago, IL?

No. LendingOne provides commercial only loans that are non-owner occupied (investment) properties.

Is there a prepayment penalty?

Prepayment penalty conditions are as follow:

• 
  Term: 3 Years
• 
  3, 2, 1 step-down prepayment penalty (3% of loan balance in first year, 2% of loan balance in second year, 1% of loan balance in third year)