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.

Rental Loan

Single-Family Rental Loans: Financing One Property vs. a Full Portfolio

Single-family rental loans finance non-owner-occupied houses purchased or refinanced for rental income, most commonly through DSCR loans that qualify each property on its own rental cash flow. Investors scaling beyond one property can either finance each home individually or use a portfolio (blanket) loan that consolidates multiple properties under one loan. Individual DSCR financing avoids cross-collateralization risk, while portfolio loans simplify management at the cost of tying properties together under a single lien.

August 10, 2026Read more →

Private Lender

What Is a Private Lender? A Guide for Real Estate Investors

A private lender is a non-bank company or individual that funds real estate loans, typically for business or investment purposes rather than personal, family, or household use. Private mortgage lenders underwrite based on the property and the deal, allowing faster closings and more flexible qualification than a traditional bank. Common private lending products include DSCR rental loans, fix-and-flip loans, bridge loans, and ground-up construction loans.

August 10, 2026Read more →

Rental Loan

How to Get a Loan to Buy a Rental Property

Getting a loan to buy a rental property typically requires a larger down payment than a primary residence, often 15% to 25%, along with a qualifying credit score and cash reserves. Investors can qualify using personal income through a conventional loan or using the property's projected rental income through a DSCR loan. Understanding these requirements upfront, along with the full cost of buying, helps investors avoid financing surprises during the purchase process.

August 10, 2026Read more →

Rental Loan

What Is a DSCR Loan? A Complete Guide for Real Estate Investors

A DSCR loan is a mortgage for rental properties that qualifies borrowers based on the property's rental income instead of personal income or tax returns. DSCR stands for debt service coverage ratio, and most lenders require a minimum ratio of 1.2. DSCR loan programs typically offer 30-year fixed terms, allow LLC ownership, and close faster than conventional financing, making them a common choice for investors scaling a rental portfolio.

August 10, 2026Read more →

Rental Loan

Debt Service Coverage Ratio (DSCR) Explained

Debt service coverage ratio (DSCR) measures whether a property's income is enough to cover its debt payments. For rental property loans, it's typically calculated by dividing gross monthly rental income by the total monthly mortgage payment. A DSCR of 1.0 means the property breaks even on debt; most lenders want to see 1.2 or higher. DSCR is the foundation of debt service coverage ratio loans, which qualify borrowers based on property income instead of personal income.

August 10, 2026Read more →

Construction Loan

What Is a Construction Loan? How It Works, Lender Types, and Requirements

A construction loan is a short-term loan that funds a building project in stages, or draws, rather than a single lump sum, with interest charged only on funds that have been disbursed. Construction loan lenders range from traditional banks to private lenders that specialize in investor-focused ground-up construction. Requirements typically include a strong credit score, a meaningful down payment or equity contribution, and a detailed, permitted construction plan.

August 10, 2026Read more →

Rental Loan

Cash-Out Refinance on an Investment Property: How It Works

A cash-out refinance on an investment property replaces your existing mortgage with a larger loan and pays you the difference in cash, typically up to 75% of the property's value. Investors commonly use DSCR cash-out refinances, which qualify based on rental income rather than personal income, to access equity for their next purchase or renovation. Paid-off rental properties can also be refinanced for cash, though the same loan-to-value and seasoning rules apply.

August 10, 2026Read more →

Rental LoanFix Flip LoanMultifamily Loan

What Is a Cap Rate? Definition, Formula, and How to Calculate It

A cap rate, or capitalization rate, measures a rental property's annual net operating income as a percentage of its value or purchase price. It's calculated by dividing net operating income by property value, and it gives investors a quick way to compare properties and estimate potential return. A higher cap rate generally signals higher potential return and higher risk, while a lower cap rate reflects a more stable, often more expensive asset.

August 10, 2026Read more →

Rental Loan

Best Loan to Buy or Refinance a Rental Property: Comparing Your Options

The best loan for a rental property depends on whether you're buying or refinancing. Conventional loans work well for investors with strong personal income and only a few properties, DSCR loans qualify based on rental income and support portfolio growth, and short-term bridge or hard money loans are typically used to buy and renovate before refinancing into long-term financing. Matching the loan structure to the stage of the deal is what determines the best fit.

August 10, 2026Read more →