Dwell Finance and B2R Team Up to Expand Financing Options for Rental Investors
B2R Finance’s recent acquisition of assets from Dwell Finance expands B2R’s suite of products to provide a broader range of financing options available to single-family rental property investors.
The acquisition provides real estate investors with a one-stop shop for a variety of lending needs to support all stages of growing their real estate investments — from short-term financing of two years or less to terms as long as 10 years. Dwell Finance will operate as a division of B2R Finance and its founder, Gregor Watson, was recently named chief revenue officer and president of business development at B2R. The companies have also opened regional offices in strategic locations to provide highly personalized lending solutions in more jurisdictions nationwide.
In addition to expanding its suite of lending products, B2R and Dwell Finance have also built a powerful loan decisioning engine featuring thousands of lending criteria and a simplified, low-friction front-end portal. The platform offers a dashboard for investors to interact and upload documents on the go, monitor their portfolio performance anywhere and from any device, and tap data to provide better insights and solutions. Ultimately, it will help borrowers identify where they want to go with their rental investments, where their current portfolio is in relation, the DNA of their local market, and finally, how to connect the dots with products from B2R and Dwell Finance. The platform will be broadly available to borrowers in the coming months.
Dwell Finance now offers three financing options:
- Fix & flip loans: Investors can fix and flip multiple properties on a single credit line with credit limits from $1 million to $100 million. There is no limit on the number of individual loans.
- Bridge-to-term loans: Investors can acquire multiple vacant properties on a single credit line.
- Portfolio rental loans: Investors can refinance or acquire five or more investment properties with a 75% loan-to-value. There is no upper limit to the number of properties that can be financed and investors can get cash out for their next rental investment.
B2R Finance will continue to offer asset-based lending with terms up to 10 years to large and mid-sized professional lenders — those needing more than $5 million in proceeds. B2R uses the cash flow that the properties generate to determine lending levels, not an investor’s personal income. This longer-term, higher threshold financing is attractive to investors who have amassed a portfolio of properties in a buy-to-rent strategy, and who may be in a position where they want to unlock equity from their real estate portfolio.
If you are already in the real estate business, you know it’s a great time to be a property investor, whether you prefer the buy-to-flip or the buy-to-hold model.
Though house prices have been on the rise, buy-to-flip entrepreneurs continue to find opportunities that meet their investment criteria. The average gross profit on flips completed in the first quarter of 2015 was $72,450, up from $61,684 in the first quarter of 2014 and the highest in records dating to 2011, according to a recent data from RealtyTrac, a real estate data firm.
Buy-to-hold investors are also finding the marketplace incredibly attractive as rents have been on the rise nationally. U.S. renters paid $441 billion in rent in 2014, up $20.6 billion, or 4.9% percent over 2013, according to a report from Zillow, an online real estate listing service and database of U.S. homes. In April 2015, the median U.S. rent of $1,364 climbed 4% from a year earlier, says a new report from Zillow. That’s the biggest jump since March 2013.
Wherever you fall on the investing spectrum, we hope you’ll see the addition of Dwell Finance to the B2R family as one that could unlock opportunity for you now or in the future.
B2R Finance offers rental investors innovative lending products to help unlock equity from existing portfolios and provide the cash needed to build rental portfolios nationwide. For more information about how B2R can help you obtain rental property financing, just call 800-227-8107 or visit www.b2rfinance.com/borrowers and follow us on Twitter @B2RFinance.
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