Why scaling investors outgrow one-property-one-loan
Every individually financed rental adds a mortgage, a payment, a closing-cost stack, and an underwriting file. By property 6 or 8, the administrative drag is real and the conventional-loan count limits start binding. A blanket loan consolidates the portfolio into one note: one payment, one rate, one renewal conversation.
Cross-collateralization also changes the math. The portfolio qualifies on aggregate DSCR, so a strong duplex can carry a thinner-margin single-family, and the whole pool often supports more leverage than its weakest property would alone.
How LendingStreet places blanket deals
Blanket and portfolio programs differ more than any other product we place: release prices, substitution rights, seasoning rules, recourse, and minimum pool sizes vary widely between capital sources. LendingStreet runs your portfolio across the institutional and specialty blanket sources in our marketplace and brings back competing structures - typically 2-3 term sheets inside 48 hours.
Standard placements start at 5+ properties with portfolio pricing up to 75% aggregate LTV. For 3-4 property pools - a size most direct lenders will not touch - we maintain specialty sources that will, which is frequently the difference between consolidating now and waiting another acquisition cycle.
No credit pull. No commitment. Investment properties only.
Structures we commonly place
Rate-and-term consolidation of 5-15 SFRs under one 30-year note. Cash-out blanket refinances that pull equity across the pool to fund the next acquisition. Cross-collateralized bridge for portfolio acquisitions - buy the package, stabilize, then roll to permanent. Mixed pools combining SFR, 2-4 unit, and small multifamily under one structure.
Recent example placement: a $3.4M, 55-property Alabama portfolio consolidated under a single blanket structure - the kind of pool that individual financing simply cannot serve.
Frequently Asked Questions
What is a blanket (cross-collateralized) portfolio loan?
One loan secured by multiple investment properties at once. Instead of 8 separate mortgages with 8 payments and 8 sets of closing costs, a blanket loan wraps the portfolio into a single note with one payment and one lender relationship.
How many properties do I need?
Standard blanket programs in our marketplace start at 5+ properties. For 3-4 property portfolios, LendingStreet works with specialty sources that accept smaller pools - a size most direct lenders decline.
Can I sell one property out of a blanket loan?
Yes - through partial release provisions. Each program defines a release price (typically 110-125% of the allocated loan amount) that pays the loan down when a property is sold, keeping the rest of the portfolio financed without a refinance.
How is a blanket portfolio loan underwritten?
On the portfolio's aggregate debt-service coverage. Strong performers offset weaker ones, which often lets investors finance properties that would not qualify individually. LLC and entity borrowers are standard.
What are typical blanket loan terms?
Portfolio pricing on 5+ properties, up to 75% LTV aggregate, 30-year and interest-only structures available, $500K-$20M+ total, nationwide. Release provisions, substitution rights, and recourse terms vary by capital source - which is exactly why running the deal across multiple sources matters.