Memphis is one of the country's best-known markets for single-family rental portfolios. Investors here often own dozens of homes, which makes jumbo-size blanket loans far more common than jumbo loans on a single house.
In short: LendingStreet finances jumbo DSCR loans from about $1.5M to $5M+ on 1-8 unit investment property in Memphis, Shelby County and nearby DeSoto County, Mississippi, qualified on rent with no W-2s or tax returns. In Memphis, a jumbo balance usually comes from a portfolio of single-family homes, and the combined city and county tax rate inside Memphis is a key input. Max LTV varies by program.
Investor portfolios concentrate in Cordova, Raleigh, Hickory Hill, Whitehaven, Frayser and Parkway Village, where moderate homes lease steadily. Midtown neighborhoods such as Cooper-Young and Central Gardens have higher-priced homes and small multifamily.
East Memphis, Germantown and Collierville have the area's larger homes, and Southaven and Olive Branch in Mississippi are part of the same rental market.
| Property type | Typical areas | What drives the balance |
|---|---|---|
| Single-family portfolio | Cordova, Raleigh, Hickory Hill | Number of homes in the blanket |
| Midtown small multifamily | Cooper-Young, Central Gardens | Combined rent roll |
| Large suburban home | Germantown, Collierville | Price vs rent; lower LTV common |
With many rentals trading well under $200,000, a $1.5M+ loan in Memphis typically covers ten or more homes. Portfolios bought from other investors or assembled over years are common, and blanket loans let them be refinanced at once.
Portfolio files depend on clean data: rent rolls, leases, tax and insurance figures and condition for every home.
Many Memphis portfolios include homes bought from out-of-state investors or turnkey operators. Before refinancing, verify that each home's lease, rent level and condition match what the seller reported, since the appraisal will judge each property on its own.
Tennessee assesses residential property at 25% of appraised value. Inside Memphis, both the City of Memphis and Shelby County levy, so the combined rate is higher than in Germantown, Collierville or Bartlett, which have their own city rates. Shelby County reappraises periodically, and values can jump.
Tennessee charges a transfer tax of $0.37 per $100 of value and a mortgage recording tax of $0.115 per $100 of the loan amount above $2,000. On a $1.5M loan, the recording tax is about $1,700.
Memphis sees severe storms, tornadoes and ice storms, and it sits near the New Madrid seismic zone, where earthquake coverage is a separate decision. Many portfolio homes date from the 1950s to 1970s.
Low-lying areas near the Wolf River, Nonconnah Creek and the Mississippi have mapped flood zones.
On a portfolio of older homes, insurers sometimes decline specific properties with old roofs or electrical panels. Finding that out early lets you fix or remove those homes before the loan is sized.
This example is illustrative and not a quote. An investor refinances fourteen single-family rentals in Cordova and Raleigh into one blanket loan. Average rent is about $1,250 a month. The combined appraised value is $2,240,000 and rent totals $17,500 a month. Taxes are budgeted at $3,100 a month and insurance at $1,850.
At 75% LTV the loan is $1,680,000. Estimated principal and interest is about $11,318, so the full monthly payment is about $16,268 and DSCR is about 1.08x. At 65% LTV the loan falls to $1,456,000, principal and interest to about $9,809, the payment to about $14,759 and DSCR rises to about 1.19x. The lower-leverage version leaves $224,000 more equity in the properties.
Insurance on fourteen older homes is a large line here. Inside the city, the combined city and county tax rate also takes more of the rent than it would in the suburbs.
| Item | 75% LTV | 65% LTV |
|---|---|---|
| Loan amount | $1,680,000 | $1,456,000 |
| Estimated principal and interest | $11,318 | $9,809 |
| Property taxes (budgeted) | $3,100 | $3,100 |
| Insurance | $1,850 | $1,850 |
| Total monthly payment | $16,268 | $14,759 |
| DSCR at $17,500 rent | About 1.08x | About 1.19x |
| Equity remaining | $560,000 | $784,000 |
Memphis enforces property maintenance codes through its code enforcement division, and blighted or neglected rentals draw attention. Ask the city what registration or inspection rules currently apply to each property, along with any Shelby County rules for unincorporated areas.
Short-term rentals in Memphis are regulated by the city and need the proper approvals. Most jumbo-size portfolio files are underwritten on long-term leases.
Loan size runs from about $1.5M to $5M+ for purchase, rate-and-term or cash-out on 1-8 unit rentals. Qualification is the property's rent against the full payment, with no W-2s or tax returns. The credit floor is 620, LLCs are standard and 30-year terms are available.
On a larger balance, plan for a lower maximum LTV than standard DSCR loans, a more detailed appraisal review and higher reserves. A ratio under 1.0x is not always the end of the file, since sub-1.0 programs exist, but leverage and pricing vary by program.
Residential DSCR financing covers buildings up to 8 units; 9 units and up is commercial (see /multifamily-loans.html). If you own five or more rentals, a blanket portfolio loan can put them under one closing and one payment, qualified on combined cash flow, with release provisions when a property sells.
Memphis is one of the most common markets for multi-state portfolios too, since many investors also own in DeSoto County, Mississippi across the line.
Underwriting on a big balance goes smoother with these in hand.
Use the form below or call (877) 298-1001 with the property details and target loan amount. We will size the loan on the rent and show you where the ratio lands at different LTVs.
Yes. Blanket portfolio loans start at five properties, each with 1-8 units, qualified on combined rent.
Inside Memphis, both city and county taxes apply. Suburbs levy their own city rates.
On some multi-state programs, yes. Ask about multi-state portfolio loans.
You can lower the loan amount, add more down payment, or look at sub-1.0 DSCR programs, which exist for some files. Pricing and leverage on those vary by program.
Yes, 30-year terms are available on jumbo DSCR loans. Maximum LTV and reserves are what usually tighten as the balance grows.
On some programs a third-party projection of short-term rental revenue can stand in for a lease, but only where local permit, zoning and HOA rules allow the use.
No. Our investor loans are business-purpose loans on non-owner-occupied property. We do not finance a home you live in, full time or part time.
2-3 competing quotes from 30+ capital sources. No credit pull. No commitment.
By clicking, you provide express written consent to be contacted by LendingStreet (NMLS #1734316) via SMS, phone, or email, possibly using automated technology, regarding your loan inquiry. Reply STOP to opt out. Consent is not required to obtain services. See our Privacy Policy and Terms.