Compare financing options for a 5-10 unit building
TL;DR: Owners of California 5-10 unit buildings usually choose between a rent-based DSCR loan, a bank commercial multifamily loan and a short-term bridge loan, and fourplex owners moving up want to know what changes at five units. These pages set the options side by side, factually and without pricing.
5-10 unit DSCR loan vs a bank commercial multifamily loan
Small-balance DSCR vs a bank commercial multifamily loan for a California 5- to 10-unit building: documents, structure, recourse and who each one fits.
Compare →DSCR vs hard money bridgeDSCR loan vs hard money bridge loan on a 5-10 unit building
Long-term DSCR financing vs a short-term hard money or bridge loan for a California 5- to 10-unit building: vacancy, renovation, permits and the two-step plan.
Compare →Fourplex vs 5 unitsFourplex vs 5-unit building: how the DSCR loan changes
What changes between a California fourplex and a 5-unit building on a DSCR loan: program lane, documents, appraisal method and number of lenders.
Compare →How to use these comparisons
Start with the building’s condition. If it is leased and collecting, compare a 5-10 unit DSCR loan with a bank commercial loan. If it is vacant or mid-renovation, read the bridge comparison first. If you own fourplexes and are looking at your first five-unit building, the fourplex comparison explains the jump in documents.
When you are ready, send the building or run it through the building DSCR calculator.
Send us the building, not just the borrower
Address, unit count, a current rent roll and the loan you have in mind. We read it the way a 5-10 unit underwriter will and tell you which wholesale programs are worth the appraisal.