DSCR loans
For qualifying rental properties, some DSCR programs focus primarily on the property's rental cash flow rather than the borrower's personal income. Loan terms and property requirements vary.
Investment property financing
1031 Exchange Mortgage Loans
You've found your next investment. Let's make sure the financing is ready when you need it.
Financing the replacement property in a 1031 exchange
A 1031 exchange may allow an investor to defer recognizing certain gains when exchanging qualifying real estate for other qualifying real estate. Mortgage financing can help fund the replacement property's purchase price, but the mortgage itself does not create the tax benefit.
At Breeze Funding, we help investors evaluate purchase financing alongside the exchange timeline. Whether you are acquiring a single-family rental, a small multifamily property, or another eligible investment, the key is aligning underwriting with your transaction.
Important: A 1031 exchange is a tax strategy, not a special tax-exempt mortgage. Exchange eligibility and tax consequences must be confirmed with your qualified intermediary and tax advisor.
Mortgage options for 1031 exchange investors
Conventional investment loans
Traditional financing may suit investors with documented income, sufficient reserves, and eligible properties. We can compare available options.
Complex-income investors
Business owners and self-employed investors may have alternative documentation options through eligible non-QM programs.
For investment-property financing based on rental cash flow, visit our Investor and DSCR Loans page.
Four details that can make or break the timeline
Discuss financing before you identify a property
Review price range, loan amount, available funds, and lender documentation early so financing does not become a last-minute obstacle.
Coordinate with your qualified intermediary
The qualified intermediary manages the exchange structure and proceeds; the lender manages financing and mortgage underwriting. Both need consistent closing instructions.
Watch the tax deadlines
Generally, replacement property must be identified within 45 days and received by the earlier of 180 days after the transfer or your applicable tax return due date, including extensions.
Consider equity, debt and potential boot
Receiving cash or net debt relief can affect the amount of gain deferred. Ask your tax advisor to review your complete exchange, including additional cash contributed and replacement debt.
How the financing process fits together
Before the relinquished property closes, speak with your qualified intermediary and tax adviser about the exchange structure. Separately, contact Breeze Funding to discuss financing capacity, property type, occupancy, cash reserves and estimated closing deadlines.
When you identify a replacement property, we can help you evaluate lender requirements and coordinate the mortgage milestones with your purchase team. Loan approval, appraisal, underwriting and funding timelines depend on the actual scenario.
For official guidance on Section 1031 deadlines and reporting, see the IRS Instructions for Form 8824.
1031 Exchange Mortgage FAQs
Make your next investment move with a financing plan.
Discuss your replacement property and financing options with Breeze Funding.
Financing is subject to credit and underwriting approval, property eligibility, and program availability. Breeze Funding does not provide legal or tax advice.