Short Term Vacation Rental Loans

Finance Your Airbnb or VRBO Investment Property Specialized Financing for Nightly and Seasonal Rentals

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What to Expect

Short-Term Rental Financing at a Glance

Loan Amounts

$50,000 - $2,000,000

Competitive Rates

Starting at 5.75%

Maximum LTV

Up to 75% LTV

Flexible Terms

30-Year Fixed, 5/1, 7/1, 10/1 ARMs

Short Term Rental Loans 101

What are Short Term Rental Loans?

Short-term rental loans are specialized financing solutions designed specifically for properties rented on a nightly, weekly, monthly, or seasonal basis through platforms like Airbnb and VRBO. These loans consider the unique income patterns and operational characteristics of vacation rentals, allowing investors to finance properties based on their seasonal rental potential rather than traditional long-term rental income.

How do Short Term Rental Loans Work?

These loans are structured to account for the seasonal nature of vacation rental income, using a 12-month average to determine qualification. The program recognizes the higher operating costs associated with short-term rentals, including furnishings, cleaning, and marketing, by applying a standardized adjustment to gross rents. This realistic approach helps ensure sustainable financing based on actual property performance.

Benefits of Getting a Short Term Rental Loan Through Joseph Capital Network

Specialized Vacation Rental Understanding

Our program is specifically designed for short-term rental properties, with underwriting that accounts for seasonal income variations and platform-based revenue. We understand the unique aspects of vacation rental operations and adjust our criteria accordingly.

Flexible Income Validation Options

Multiple methods available to verify rental income, including platform statements, bank deposits, and market rent analysis. We work with various documentation sources to capture your property's true earning potential.

Multiple Property Types Accepted

Finance single-family homes, condos, or townhomes for vacation rental use. Our program accommodates various property types popular in the short-term rental market.

Customizable Loan Terms

Choose from 30-year fixed rates or adjustable-rate options. Interest-only payments available to help maximize cash flow during seasonal fluctuations.

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Minimum Requirements to Qualify

Our short-term rental loan program is designed for investors looking to finance vacation rental properties. Basic requirements include:

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- Minimum credit score of 620

- Property must be non-owner occupied

- Demonstrated DSCR of 1.0 or higher after adjustments

- Clear vacation rental business plan

- Property in approved vacation rental location

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Understanding Short Term Rental Loan Requirements

Success in short-term rental financing depends on several factors

Project Viability

The property's potential for value appreciation after improvements

Market Analysis

Local real estate trends and comparable sales

Experience Level

While we welcome first-time flippers with solid plans, experience can qualify you for better terms

If you meet these minimum requirements, you will then need to meet a plethora of additional financing and industry-based requirements that will be based on the size of the loan along with the intended use of the loan.