May 26, 2016— AssetAvenue, the leading online lender for real estate investors, today announced a new loan product to finance the purchase of rental properties including single-family homes, two to four multitenant units, condos and townhomes. The company’s customers – many of whom are fixing and flipping homes – specifically asked for a product that would expand their investment portfolio and enable them to collect income from rental properties. AssetAvenue listened and delivered.
“We are focused on the person who wants to invest in real estate, plain and simple. We give them the resources, tools and frictionless financing they need to be successful.”
The loans are designed to be more commercial in nature than a traditional residential loan. To accomplish this, AssetAvenue will place a premium on an individual’s Debt-Service Coverage Ratio (DSCR), as opposed to the Debt-to-Income Ratio (DIR). As a result, loan approval is primarily driven by the property’s rental income, with minimal requirements regarding personal earnings. This unique feature opens up lines of credit to entrepreneurs who are often rejected by traditional lenders.
“Since its inception in 2013, AssetAvenue’s commitment to entrepreneurs has been unwavering, and our new rental loan product is a natural extension of that,” said Varun Pathria, CEO of AssetAvenue. “We are focused on the person who wants to invest in real estate, plain and simple. We give them the resources, tools and frictionless financing they need to be successful.”
The speed and transparency with which AssetAvenue can approve these loans continues to be the company’s differentiator. “We are dedicated to taking a real estate investor from quote to close in as little as 15 days,” said Pathria. “This is a rarity in today’s online lending industry, despite others’ claims to the contrary.”
Details about AssetAvenue’s new 30-year fixed rental loan:
Loan Amount: $75,000 – $1 million
Loan-to-Value Ratio: Up to 75%
Markets: Primary and Secondary
Lien Position: First Lien
Interest Rates: 6.5 – 7.5%
Broker Fees: Protected
Other Terms: Will consider borrowers with special situations and foreign nationals
AssetAvenue knows that real estate investors need flexibility, so the loan’s prepayment penalties expire after three years. Currently, the loan is available in 44 states. For more information or to receive a quote within minutes, please visit https://assetavenue.com/rental-properties.
AssetAvenue is an online lender that is using technology to improve the way people borrow money for real estate investment properties. Our innovative online platform and proprietary data models enable us to deliver new benchmarks for speed, transparency and flexibility to borrowers and brokers; traditional banks simply can’t compete. We partner with institutional capital providers to offer competitive rates and flexible loan terms that allow us to fund loans in a matter of days. The company is a proud partner of the National Association of REALTORS® through its REach program to offer its loan solutions to brokers and agents nationwide seeking financing for their clients’ investment properties. AssetAvenue, named one of the nation’s Top 10 lending startups to watch, has received equity capital from DCM Ventures, NetEase and Matrix Partners.
[button href=”http://www.businesswire.com/news/home/20160524005523/en/AssetAvenue-Debuts-30-Year-Fixed-Loans-Real-Estate” style=”emboss” size=”medium” color=”#000000″ target=”_blank”]Source: AssetAvenue[/button]