Orlando is one of the most active investor markets in Florida, and our lending partners finance it on standard terms. The problems investors run into here are specific: vacation-rental plans that depend on local rules and on how a lender counts income, condo buildings facing post-Surfside repairs, and Florida taxes on both the deed and the loan. This page walks through each.
The Orlando metro, Orange, Seminole, Osceola and Lake counties, has more than two and a half million people and none of the six counties our lending partners cap at 50 percent leverage. Location and value floors are rarely an issue. What catches Orlando investors out are three things that are particular to Central Florida: vacation rentals, condos and Florida's closing taxes.
Orlando draws investors who want short-term rentals near the theme parks. Two cautions before you buy on that plan.
The rules are local. Whether a house can be rented by the night depends on its city or county, its zoning and often its homeowners association. Areas near the parks in Osceola County allow them in designated resort communities; many other neighborhoods do not. Confirm the exact address before you buy.
The financing is different. Our lending partners' DSCR program qualifies a property on long-term rental income, and they do not advertise a short-term rental program. If your plan only works on nightly-rental income, do not assume a DSCR loan will count it. Ask for written confirmation for your specific property first, or run the numbers on a long-term lease as the fallback.
Orlando has a large stock of older condos, many of them bought by investors. After the 2021 Surfside collapse, Florida required milestone structural inspections and reserve studies for many condo buildings, and some associations have levied large special assessments to catch up on repairs and reserves.
That has made some condo units hard to sell and hard to finance. Before you buy a condo unit, ask the association for its most recent inspection, its reserve study, its budget and any pending or planned special assessments. A low price on a unit in a building facing a big assessment is not a discount.
Documentary stamp tax on the deed: 70 cents per $100 of price, customarily paid by the seller outside Miami-Dade. On a $350,000 resale that is $2,450.
Taxes on your loan: 35 cents per $100 of the note and a 0.2 percent intangible tax on the mortgage, both usually paid by the borrower. On a $250,000 hard money loan, that is about $875 plus $500. Put it in your closing costs.
Property tax resets when you buy. Florida limits yearly increases in the assessed value of non-homestead property to 10 percent, but the limit resets on a sale, so the assessment moves toward market value for the new owner. A rental's tax, and a DSCR loan's payment, should be estimated on the price you paid.
Insurance. Central Florida is inland, but wind coverage is still a major cost. Get a real quote during your inspection period.
Fix and flip and bridge loans: from $50,000, up to 100 percent of cost but no more than 70 percent of after-repair value, with a 600 minimum credit score. Standard pricing under the underwriting guidelines is 12.99 percent and 2.99 points. The 10.99 percent starting rate is available after two loans have been paid off in good standing with our lending partner; a first-time borrower should expect to start above it and earn the way down.
DSCR rental loans: $75,000 to $2 million at up to 80 percent of value, qualified on long-term rent, with rates from 5.99 percent on the program page.
Loans close in an entity such as an LLC, and every owner of 30 percent or more personally guarantees the loan. Terms change, so we confirm them for your property before you commit.
Yes, on standard terms. Orange, Seminole, Osceola and Lake counties are not among the six counties where our lending partners cap leverage at 50 percent, and the Orlando metro easily meets their location guideline. The property must be non-owner-occupied investment property.
Be careful here. Our lending partners' DSCR program is built around long-term rental income, and they do not advertise a short-term rental program. Do not count on nightly-rental income to qualify a loan unless the lender confirms it for your specific property in writing.
Florida charges documentary stamp tax of 70 cents per $100 on a deed, customarily paid by the seller outside Miami-Dade, plus 35 cents per $100 on the note and a 0.2 percent intangible tax on a new mortgage, which the borrower pays. On a hard money loan, you pay the note and mortgage taxes.
Often. Florida limits yearly increases in the assessed value of non-homestead property to 10 percent, but the limit resets when the property sells, so the new owner's assessment moves toward market value. Estimate taxes on what you paid.
After the 2021 Surfside collapse, Florida required milestone structural inspections and reserve studies for many condo buildings, and some associations have levied large special assessments to meet them. Ask for the association's inspection, reserve study and assessment history before you buy a condo unit.
Florida uses a three-day notice to pay or leave, counting only business days, before an eviction filing. Security deposits must be returned within 15 days, or a notice of claim sent within 30 days.
Holding an Orlando rental? Our two free landlord books compare what a rental costs to carry across twelve states, including Florida.
Answer these and your deal goes to our lending partner's team, who will contact you about whether it is fundable and on what terms. By sending it you agree to your details being shared with them. Investment property only — our lending partners do not finance a home you will live in.
Thank you. Your details are on their way to our lending partner's team, who will contact you shortly.
Dominion Hard Money does not lend its own funds; it arranges financing through third-party lending partners. All financing is arranged for business purposes only and secured by non-owner-occupied investment property. Not a commitment to lend. All loans subject to underwriting, property review, and approval by the lender. Terms vary by property, borrower experience, and exit strategy.
Florida · Tampa · DSCR rental loans · Investment property rates · Fix and flip loans