Real Estate Investing Guides & Resources

Free real estate investing guides and explainers from Dominion Financial. Topics include DSCR loans, fix & flip financing, bridge loans, construction, and more.

Fix Flip Loan

Why Selling Speed Matters More Than Cost of Capital for Fix-and-Flip Investors

For most fix-and-flip investors, reducing holding time saves significantly more money than negotiating a slightly lower loan rate. Every additional month a property sits on the market adds interest, taxes, insurance, utilities, and maintenance costs while increasing the risk of price reductions. In today's tighter real estate market, faster sales improve ROI, preserve profit margins, and allow investors to reinvest capital into their next project more quickly. Working with an experienced private lender that can fund quickly and adapt to changing market conditions can help investors shorten their overall project timeline.

July 9, 2026Read more →

Fix Flip Loan

Hard Money Loans: The Complete Guide for Real Estate Investors

Hard money loans are short-term, asset-based loans secured by real property. They are typically used by real estate investors for fix-and-flip projects, bridge financing, and acquisitions that don't qualify for conventional lending. Rates generally range from 9% to 13%, terms run 6 to 24 months, and lenders focus on the property's value (particularly after-repair value) rather than the borrower's W-2 income. Hard money closes faster than bank financing, often within 7 to 14 days, but carries higher interest rates and origination fees.

June 30, 2026Read more →

Fix Flip Loan

Bridge Loan vs Hard Money: What's the Difference and Which Do You Need?

Bridge loans and hard money loans are both short-term, asset-based real estate financing products, but they differ in purpose, term length, and typical deal profile. Hard money loans are designed for heavy renovation projects (fix-and-flip) with 6 to 18 month terms and rates of 9% to 13%. Bridge loans are designed for property transitions and stabilization (value-add multifamily, acquisition gaps, lease-up periods) with 12 to 36 month terms and rates of 8% to 12%. Hard money focuses on after-repair value; bridge loans focus on the business plan and exit strategy. Many investors use both at different stages of their portfolio.

June 30, 2026Read more →

Private Lender

Private Lender vs Bank: Which Is Better for Real Estate Investors?

Private lenders offer faster closings (7 to 21 days vs. 30 to 60 days), more flexible qualification (asset-based vs. income-based), and willingness to finance properties that banks won't touch (distressed, transitional, non-stabilized). Banks offer lower interest rates (typically 2% to 4% less), longer terms, and lower fees. Private lenders are better for time-sensitive acquisitions, value-add projects, and borrowers with complex income situations. Banks are better for stabilized properties, borrowers with strong W-2 income, and long-term holds where minimizing financing cost is the priority.

June 30, 2026Read more →

Construction Loan

Construction Loan Requirements: What You Need for a Ground-Up Build

Ground-up construction loan requirements include real estate and construction experience, land ownership or a land acquisition plan, approved architectural plans and permits, a detailed budget with contractor bids, a credit score of 650 or higher, a down payment of 10% to 25% of total project cost, cash reserves, and a clear exit strategy (sale or refinance). Funds are disbursed through a draw schedule tied to completed construction milestones, with inspections required before each draw is released. Most ground-up construction loans run 12 to 18 months.

June 30, 2026Read more →

Rental Loan

DSCR Loan Pros and Cons: Is It the Right Loan for Your Rental Property?

DSCR loans offer significant advantages for rental property investors: no income documentation, faster closings, unlimited financed properties, LLC-friendly borrowing, and qualification based on property cash flow. The main disadvantages are higher interest rates (typically 1% to 2% above conventional), larger down payments (20% to 25%), and the requirement that the property generates sufficient rental income to cover debt service. DSCR loans are best suited for self-employed investors, portfolio builders with multiple properties, and borrowers whose tax returns understate their actual income due to depreciation and write-offs.

June 30, 2026Read more →

Fix Flip Loan

What Is a Bridge Loan in Real Estate? How It Works and When to Use One

A bridge loan in real estate is short-term financing (typically 12 to 36 months) used to acquire or reposition an investment property before transitioning to permanent debt. Common use cases include value-add multifamily acquisitions, gap financing between a purchase and a sale, and property stabilization. Rates typically range from 8% to 12% with 1 to 2 origination points. Bridge loans are interest-only and require a clear exit strategy, usually a refinance into a DSCR or conventional loan, or a property sale.

June 30, 2026Read more →

Rental Loan

How to Calculate DSCR: Formula, Examples, and What Lenders Look For

DSCR (debt service coverage ratio) is calculated by dividing the property's gross monthly rental income by its total monthly debt service obligation (principal, interest, taxes, insurance, and HOA). A DSCR of 1.0 means the rent exactly covers the payment. Most lenders require a minimum of 1.0 to 1.25, with the best rates available at 1.25 and above. The rental income used is the lesser of the actual lease amount or the appraiser's market rent estimate. Common calculation mistakes include forgetting to include insurance, taxes, or HOA in the debt service figure.

June 30, 2026Read more →

Fix Flip Loan

How to Finance a House Flip: Every Option Compared

House flips can be financed through fix-and-flip loans (hard money), private money, home equity lines of credit (HELOCs), cash, partnerships, and in some cases conventional renovation loans. Fix-and-flip loans are the most common option, covering both acquisition and rehab costs with terms of 6 to 18 months and rates of 9% to 13%. The best financing choice depends on the investor's experience, available cash, deal timeline, and how many projects they plan to run at once. Most active flippers use a combination of funding sources as they scale.

June 30, 2026Read more →