Roanoke is a value market, and a single rental rarely gets near $1.5M. Investors who need a jumbo balance in the valley are usually refinancing a portfolio they built over years, or financing a large home at Smith Mountain Lake.
In short: LendingStreet offers jumbo DSCR loans, from about $1.5M to $5M+, to investors in Roanoke, Salem, Vinton and Roanoke and Botetourt counties, qualified on rent with no tax returns. In this market a jumbo balance usually covers a portfolio of homes and small multi-units, several 5-8 unit buildings, or a high-value lake or South Roanoke home. Separate city and county tax systems and Virginia recordation taxes are the local costs to plan for.
Old Southwest, Raleigh Court, Grandin Village and Wasena have older homes and converted multi-units that lease to Carilion Clinic staff, medical students and young professionals. South Roanoke has the city's most expensive homes, and Hunting Hills and Cave Spring in the county add larger newer houses.
Smith Mountain Lake, south of the city in Franklin and Bedford counties, has waterfront homes that lease by the season or the night, and Botetourt County around Daleville is growing.
| Area type | Examples | What a jumbo loan usually covers | Check first |
|---|---|---|---|
| Older city neighborhoods | Old Southwest, Raleigh Court, Grandin, Wasena | Groups of homes and 2-8 unit buildings | Condition of older systems |
| High-value areas | South Roanoke, Hunting Hills, Cave Spring | Occasional large home lease | Rent support for value |
| Lake and county | Smith Mountain Lake, Botetourt County | Waterfront or STR homes, newer rentals | County STR and dock rules |
Most Roanoke rentals are priced far below jumbo territory, so a $1.5M+ loan here usually spans many properties. With five or more, a blanket portfolio loan puts them under one closing and one payment, which is often simpler than a stack of small loans.
The exceptions are large waterfront homes at Smith Mountain Lake and a handful of South Roanoke estates. On those, rent or projected short-term revenue has to support a high value, so leverage is often lower and the file gets closer review. Comparable rentals at the lake are fewer, so signed leases or booking history carry extra weight.
Roanoke is an independent city, separate from Roanoke County, and Salem is separate again. Each sets its own real estate tax and reassesses on its own schedule; the city reassesses annually. A portfolio that spans the city and county will have properties on different bills.
Virginia charges recordation tax on deeds and deeds of trust, with local add-ons, and a grantor tax usually paid by the seller. On a large refinance the recordation tax on the new deed of trust is a cost to plan for, though some refinances qualify for reduced treatment. Ask your settlement agent.
This example is illustrative and not a quote. An investor owns 18 single-family homes and small multi-units across Roanoke and Vinton worth a combined $2,300,000. Combined rent is $22,500 a month. City and county taxes total $2,340 a month, and insurance is $1,300.
Sized at 70% LTV, the balance is $1,610,000 and estimated principal and interest runs about $10,711. Taxes ($2,340) and insurance ($1,300) take the total to about $14,351. Divide $22,500 of combined monthly rent by that and the ratio is about 1.57x.
Roanoke's rent-to-price ratio leaves plenty of coverage on a portfolio like this, which is why investors here often refinance to pull equity for the next purchase.
| Line item | Portfolio refinance |
|---|---|
| Value | $2,300,000 |
| Loan-to-value | 70% |
| Loan amount | $1,610,000 |
| Estimated principal and interest | $10,711 |
| Property taxes | $2,340 |
| Insurance | $1,300 |
| Total monthly payment | $14,351 |
| Combined monthly rent | $22,500 |
| DSCR | About 1.57x |
Smith Mountain Lake short-term rentals are governed by Franklin and Bedford county rules, and some communities and HOAs restrict rentals. Confirm zoning and permits before relying on projected nightly income, which some programs accept in place of a lease.
In the city, much of the housing predates 1978, so lead disclosures apply. Properties near the Roanoke River and its tributaries can sit in mapped flood zones; check the map for any parcel near the greenway.
Large-balance DSCR loans use the same test as any other: monthly rent divided by principal, interest, taxes, insurance and any association dues. The standard minimum is 1.0x. You qualify without personal income documents, with a 620 or higher score, and you can close in an LLC.
Balances from about $1.5M to $5M+ get more scrutiny. Lower maximum LTV, larger reserve requirements and an extra valuation are common, and each varies by program. Rent support matters more too, so recent signed leases on comparable Roanoke properties make the file stronger. Strong reserves and clean credit also help on the largest balances.
Not every big balance is one building. If you own five or more rentals in the area, a blanket portfolio loan can put them under one closing and one payment, qualified on the combined cash flow, with release provisions when you sell one. Some programs also cover properties in more than one state.
Owners who already hold a large rental often use a DSCR cash-out refinance, up to 75% LTV where the rent supports it, or a rate-and-term refinance to replace a maturing loan. Cash-out seasoning varies by program. Either way, the rent has to cover the new payment at the program minimum.
Send the basics first and the rest during underwriting. The items that most often slow a large file are:
Use the form below or call (877) 298-1001 with the property details. LendingStreet will show two or three structures, including a sub-1.0 program where it fits. Our investor loans are business-purpose loans on non-owner-occupied property. Compare this with our Virginia jumbo DSCR page for statewide context.
It is rare, because few Roanoke rentals are worth enough. Jumbo balances here usually come from portfolios, 5-8 unit buildings or high-value lake homes.
Yes. They are separate jurisdictions with their own tax levels and reassessment schedules. Salem is separate as well.
Some programs qualify short-term rentals on projected revenue, but only if county and HOA rules allow nightly rentals at that address.
Yes. A blanket loan can combine 1-8 unit rentals across different localities, qualified on the combined cash flow.
Timing depends mostly on the appraisal, title and insurance. Jumbo files can take longer because of the extra valuation review, so order the insurance quote and gather leases early. A complete file at the start saves the most time.
On some programs, yes, using projected short-term rental revenue, but only where local permit, zoning and HOA rules allow the property to operate as a nightly rental. Booking history helps on an existing rental.
No. Our investor loans are business-purpose loans on non-owner-occupied property, so the home must be rented to tenants and not used as your residence. If you plan to move in later, this is not the right loan.
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