CONCEPT PROTOTYPE — built for review, not live. Program figures are illustrative pending lender confirmation.
Financing · with Christa Votaw, Clear Home Loans

Commercial money works nothing like a house payment.

Nobody explains this part, so here it is in plain language — what lenders actually look at, what you'll need, and how fast it moves.

The one thing that matters most

They're underwriting the building, not you.

On a home loan, a lender qualifies you — your income, your job, your tax returns. On an investment or commercial loan, the property has to carry itself. The number that decides it is debt service coverage, and it's simply this:

Net operating income ÷ debt service

What the property earns after expenses, divided by what the loan costs. Above 1.00 it pays for itself. Most commercial lenders want 1.20 to 1.25.

On many investor programs, that's also the whole qualification — no personal tax returns, no income documentation. If the building works, the loan works.

The trap almost nobody catches

There are two different DSCRs, and they don't agree.

Commercial convention

NOI after expenses ÷ principal & interest

Subtracts everything — taxes, insurance, management, maintenance, vacancy, reserves — then divides by the loan payment alone. This is what a commercial underwriter runs on multifamily, retail, office and mixed-use.

It is the stricter number.

Rental-program convention

Collected rent ÷ PITIA

Divides rent by principal, interest, taxes, insurance and association dues — but does not subtract management, maintenance, vacancy or reserves. This is the DSCR-loan convention used on 1–4 unit rental programs.

It usually reads higher on the same deal.

Why you should care

The same property can read 0.90 one way and 1.16 the other. One of those gets declined and one gets approved. If you quote the wrong number to the wrong lender, you either talk yourself out of a good deal or walk into a term sheet that falls apart in underwriting. The Deal Room shows you both, side by side, every time. Run a deal →

What's available

The programs behind the Deal Room

ProgramSizeLeverageBest for
Rental / DSCR
30-year, no tax returns
$100K – $1.5MUp to 80% purchaseSingle family and townhome rentals, including short-term rental income
Short Term Bridge
The commercial workhorse
$100K – $50MUp to 75%Multifamily 5+, retail, office, industrial, mixed-use, hotel, land
Long Term CommercialUp to $20MUp to 75% Permanent debt, or taking out a bridge loan
Fix & Flip$100K – $3MUp to 90% of cost Buy, renovate, sell — 6 to 18 months
Fix & Hold$100K – $3MUp to 92.5% of cost Renovate, then roll into the 30-year rental loan
New ConstructionUp to $10MUp to 80% of cost Spec and pre-sold builds, interest reserve built in
Rehab Line of CreditUp to $2.5M per propertyUp to 90% of cost Investors running several projects at once
SBAUp to $20MUp to 90% Buying the building your own business operates in
Farm & RanchUp to $100MUp to 90% Agricultural real estate

Program parameters are illustrative and subject to lender confirmation. They vary by lender and change without notice. Nothing here is a rate quote, a pre-qualification or a commitment to lend.

Step three of four

Build your package before you need it

Check things off as you gather them. This is document preparation, not an application — nothing here requests credit and no decision is made from it. When the file is ready, Christa takes it from there.

The property

You and the entity

Package readiness

0%

Start checking items off and this fills in.

Send my package to Christa

Sending your package starts a conversation — it is not a credit application. The formal application is taken separately, in Clear Home Loans' secure system, when you're ready. Never upload Social Security numbers, credit reports or tax documents here.

How fast

What the timeline really looks like

1 Screen

Minutes. Run it yourself in the Deal Room and know whether it carries.

2 Package

Days, and mostly up to you. The list above is the whole job.

3 Close

Bridge loans can fund in under two weeks. Long-term debt typically runs 30 to 60 days.

Why commercial moves faster than your last mortgage

Business-purpose loans aren't consumer mortgages. The federal disclosure timelines that slow a home loan down — the three-day waiting periods, the redisclosure cycles — don't apply. That's not a shortcut anyone is taking; it's a different body of law. It's also why a prepared file can move in days instead of weeks.