All Forum Posts by: Ralph Pombo

@David A Lisowski - I spent all day on the phone yesterday talking to lenders. The term "portfolio loan" is not being used universally in the same way. A commercial lender (more of a broker) is typically using this in reference to a blanket loan. When a credit union or local bank uses the term, they seem to be describing it like you are. These organizations are holding the loan themselves as part of their own portfolios. There is a huge disconnect between the two parts of the industry. This is where all of my confusion has stemmed from. I feel that I understand it now, but it depends on the person that you are talking to.

@Caroline Gerardo - Oh you make that sound so simple. LOL. We have been turned down by many providers. I made the mistake of retiring before I did my research. Even though we have more than enough to pay cash for any purchase by cashing in our retirement, it does not look good on paper. We sold a rental home, one of four doors that we own. I never dreamed that I would have trouble financing a replacement (or several replacements) since this is the first time that I have ever been turned down for a loan before. Now, I am having to be creative and scramble in order to satisfy my 1031 and save on capital gains. It has been a very steep learning curve. Thank you for your input.

@Daniel Dietz - wow those seem like great terms compared to everything that I have seen so far. Thank you very much. That does clear up a couple of things.

@Zack Karp - that is exactly where my confusion is coming from. Your portfolio as a lender is not the same as my portfolio as an investor and yet they are always used interchangeably.

@Zack Karp - that does help a little. How does lending your uncle money define as a portfolio loan?

@Caroline Gerardo  - I am sorry, but I am a true novice. You are speaking so far above my level that I cannot follow anything. As you read in my initial question, I am attempting to finance several properties simultaneously. The definitions that I have read thus far regarding a "portfolio loan" are either loans that an institution holds in their own portfolio and do not sell, or a loan offered to an investor for their entire portfolio. Others have confirmed this in this thread. I am looking at commercial lenders and have not looked directly at banks. Many of these lenders advertise portfolio loans on a minimum number of properties. I hope that this clears up my question a little. I feel that we may be discussing different definitions. Thank you,

@Caroline Gerardo - I hope that others weigh in, because that is not the way that I understand it. This only adds to my confusion. Hopefully, others will attempt to clear up the actual definition soon. Thank you for your input.

@Scott Wolf - Are properties locked together during the entire loan lifetime? Can you sell one?

@Jonathan R McLaughlin

That is exactly correct. That is the confusion. Where do I find a portfolio loan?

Can someone please define portfolio lending for me. I am reading conflicting posts. I need to purchase several properties in a new market area to satisfy a 1031 exchange. I am retired and will not qualify for a conventional loan. Will a portfolio loan help to finance 4-5 properties at once? Thank you,