Blanket Mortgages – Underwriting Fundamentals 101

But what a blanket mortgages is, is a lender will give you one mortgage for multiple properties.

Blanket Mortgages

Blanket Mortgages

So today we’re going to be talking about blanket mortgages.

Now, this is a strategy that you don’t see too, too often on the residential space anymore.

You used to see more of it in the past.

Now, the blanket mortgages usually go with like a private lender or a commercial lender.

But what a blanket mortgage is, is a lender will give you one mortgage for multiple properties.

So do that for different various reasons.

One, it reduces risk for the lender.

Another reason it will it lowers your overall loan to value on the mortgage rate.

Because if you have let’s say you have a $500,000 mortgage and one property is worth a million, you’re at 50% loan to value.

Let’s say you got another property that’s got a million right here, a 25% loan to value.

So because your loan to value is lower, it’s less risky for the lender.

You get better pricing that of thing.

So this is why you don’t hear about it a lot. But it’s still out there and it’s still an option for you to consider.

Talk to a Mortgage Professional

As I said before, it is no longer very common to see blanket mortgages in the residential space.

This is for a few reasons such as who offers blanket mortgages and the types of properties that the best blanket mortgage lenders want to finance and take the risk on.

However, if you still want to pursue that type of financing or if you would like to look at your other options, we want to help you.

So, let’s get you started by booking a free strategy call at the link below.

Watch It: The Benefits of a Blanket Mortgage