One Loan for Your Entire Rental Portfolio
Stop juggling a separate loan on every property. A blanket portfolio loan finances five or more assets under a single facility, underwritten on the portfolio's cash flow.
Blanket Financing for Multi-Property Investors
A portfolio loan, also called a blanket loan, finances multiple properties under a single facility instead of a separate loan on each asset. For investors holding five or more rental properties, this consolidates payments, streamlines underwriting, and frees up the time spent managing a stack of individual loans. The properties are cross-collateralized, meaning they collectively secure the loan, which gives the lender more security and often gets the borrower better leverage or pricing. Good portfolio loans include release provisions that let you sell an individual property out of the pool by paying down an agreed portion of the balance, so you keep the flexibility to trade assets without unwinding the whole facility. Underwriting is driven by the debt service coverage ratio across the portfolio rather than the borrower's personal income, which makes these loans a fit for full-time investors and those holding properties in LLCs. CapitalAx places portfolio loans through DSCR lenders, banks, and debt funds for residential rental pools, small multifamily, and mixed commercial holdings from $1M to $100M+.
Key Terms
Who Is It For
- Investors holding five or more rental or commercial properties
- Owners consolidating multiple individual loans into a single facility
- Buyers acquiring a package of properties in one transaction
- Full-time investors underwritten on property cash flow rather than personal income
- Owners holding assets across multiple LLCs seeking unified financing
Common Use Cases
- Consolidating separate property loans into one blanket facility
- Acquiring a package of rental properties in a single closing
- Refinancing a portfolio to improve leverage or pricing
- Cash-out refinancing across a pool of stabilized properties
- Scaling a rental portfolio without opening a new loan on every purchase
Borrower Scenarios
- An investor with 14 single-family rentals spread across six separate loans, consolidating them into one blanket portfolio facility underwritten at a 1.35 DSCR across the pool, cutting six payments down to one and improving the blended rate.
- A buyer acquiring a package of eight small multifamily buildings from a retiring owner in a single closing, financing all eight under one portfolio loan at 72% LTV rather than arranging eight individual mortgages.
- A full-time investor holding 22 rental units across four LLCs, refinancing into a blanket loan with release provisions that let him sell off three underperforming properties over the following two years without disturbing the rest of the facility.
- An owner of a mixed residential and small retail portfolio doing a cash-out refinance across the pool to fund the acquisition of two more properties, underwritten on combined portfolio cash flow rather than personal income.
Why CapitalAx
Frequently Asked Questions
How many properties do I need for a portfolio loan?
Most lenders set the minimum at five properties, though some will start at three for the right borrower. There is no practical upper limit. We have placed portfolio loans covering everything from a handful of single-family rentals to dozens of small multifamily and mixed commercial assets under one facility.
What are release provisions and why do they matter?
A release provision lets you sell one property out of a cross-collateralized pool without paying off the entire loan. You pay down an agreed portion of the balance, usually a bit more than that property's share, and the lender releases its lien on that asset. Without a release provision, selling a single property could require unwinding the whole facility, so this clause protects your ability to trade assets over time.
How is a portfolio loan underwritten?
Portfolio loans are underwritten primarily on the combined debt service coverage ratio of the properties rather than the borrower's personal income. Lenders look at the total net operating income across the pool against the total debt payment. That makes these loans a strong fit for full-time investors and borrowers who hold properties in LLCs and show limited personal income on paper.