Asset Based Lending recently funded a DSCR rental loan for a repeat borrower and in Kearny New Jersey. This borrower contacted ABL to refinance their rental property for a better rate and terms. The borrower used an ABL bridge loan to purchase this property in 2022 with the intention of refinancing it into a DSCR loan at later time. This three-family property has tenants in two units paying above market rate for their rent. With a DSCR of 1.10 this property is cash-flow positive and generates passive income for this borrower. Kearny’s rental market is very strong as the average rent consistently trends above the national average. Located just north of Newark, many people live in Kearny and commute into the metropolitan areas of Newark and New York for work making it an ideal location for the 53% of residents renting their home.
