Low Rates.

Our rates are low, our application is quick and easy! We can get you clear to close in as little as 10 days!

Trusted By Agents With

Meet Bill Rapp

NMLS ID # NMLS # 228246

William Rapp, based in Houston, TX, US, is currently a Capital Advisor at Medallion Funds, bringing experience from previous roles at eXp Commercial, NEXA Mortgage, Viking Enterprise LLC and Sun Realty - Houston. William Rapp holds a 1997 - 2001 BBA in Finance @ Texas A&M University. With a robust skill set that includes REO, Sellers, SFR, FHA financing, Reverse Mortgages and more, William Rapp contributes valuable insights to the industry.

The Client Experience

Great experience purchasing our first home! Bill was easy to reach and always able to answer any questions or concerns.

27185 Astoria Brook Ln, Katy, TX 77494, USA

Loan Programs Available

Blogs

The Top 5 Mortgage Mistakes to Avoid

Buying your first home can be both exciting and nerve-wracking at the same time. With so many things to consider and....

Mortgage Do and

Do not list

Mortgages can be tricky, and it's easy to make mistakes that can end up costing you dearly. That's why we've put together this list....

Tips On How To Improve Your Credit Score

Let's talk about some ways you can improve your credit score! Your credit score is actually a big deal, and it can affect...

šŸ¦ Financing a Single Tenant Net Lease Property: What You Need to Know šŸ’ø

šŸ“Š Pros & Cons of STNL Deals for Mortgage Brokers and CRE Lenders 🧾

April 17, 2025•2 min read

šŸ“Š Pros & Cons of STNL Deals for Mortgage Brokers and CRE Lenders 🧾

šŸ¦ Financing a Single Tenant Net Lease Property: What You Need to Know šŸ’ø


šŸ¦ Financing a Single Tenant Net Lease Property: What You Need to Know šŸ’ø

Financing Single Tenant Net Lease (STNL) properties can be both a smart and strategic play for investors—but lenders must assess the structure differently than traditional multi-tenant assets. Here’s what mortgage professionals and property owners should consider.

The Basics of STNL Deals STNL properties typically feature long-term leases (10-20 years) where the tenant pays taxes, insurance, and maintenance. These deals are considered low-touch from a management perspective—but not always low-risk.

Lender Considerations for STNL Financing

  • šŸ” Tenant Credit Strength: Lenders will closely evaluate the credit rating and financials of the tenant. An investment-grade tenant means stronger terms.

  • šŸ’³ Lease Terms: The length of the lease and rent escalations impact the loan structure. Short remaining terms can be a red flag.

  • šŸ¦ Loan Type: Most STNL properties qualify for permanent loans, CMBS, or private DSCR loans.

  • āš–ļø LTV & DSCR Requirements: Expect lenders to seek a DSCR of 1.25x or higher and cap LTV around 65–75%.

Advantages for Borrowers

  • āœ… Easier underwriting when tenant credit is strong.

  • āœ… Streamlined operations make cash flow easier to evaluate.

  • āœ… STNLs often work well in 1031 exchanges.

Risks to Watch

  • āš ļø Re-tenanting risk post-lease.

  • āš ļø Asset location and tenant industry stability.

  • āš ļø Rate volatility affecting cap rates and valuations.

How We Help At our brokerage, we connect borrowers with lenders who specialize in net lease financing—ensuring terms that reflect the property’s real value and income profile. Whether you're acquiring, refinancing, or doing a cash-out, we’ve got you covered.


https://www.billrapponline.com/

https://findamortgagebroker.com/Profile/WilliamRappJr28883

https://billrapp.commloan.com/

https://billrapponline.com/financingfuturescre-houston-katy

https://houstoncommercialmortgage.com/

https://author.billrapponline.com

https://doctorvideo.billrapponline.com/

https://veteransvideo.billrapponline.com/

https://mortgageviking.billrapponline.com/

https://fha203h.billrapponline.com/

https://renovationvideo.billrapponline.com

https://medallionfunds.com/bill-rapp/

https://www.amazon.com/dp/B0F32Z5BH2


Ā© 2023-2024 Bill Rapp, Medallion Funds LLC, Director of Capital Advisory


 

STNL Loan requirementsmortgage for single tenant leasefinancing net lease propertycommercial property refinancing STNLDSCR Loan Net lease1031 exchange mortgage tips
blog author image

Bill Rapp - Commercial & Residential Mortgage Broker

Whether you're a first-time homebuyer, a seasoned investor, or a business owner with ambitious plans, securing the right financing is crucial. At Medallion Funds, we take the guesswork out of mortgages, offering a comprehensive suite of residential and commercial loan options to fit your unique needs. Looking for Your Dream Home? We understand the excitement and challenges of navigating the residential real estate market. Our experienced mortgage brokers will guide you through every step, from pre-qualification to closing. We offer a variety of loan programs to suit your financial situation, including: • Fixed-rate mortgages: Offering stability with predictable monthly payments. • Adjustable-rate mortgages (ARMs): Providing competitive rates for a set period. • FHA loans: Making homeownership accessible with lower down payments. • VA loans: Rewarding veterans with attractive rates and flexible terms. Investing in Your Business Future? Growth often requires capital, and we can help you unlock the potential of your commercial property. Our brokers specialize in a wide range of commercial loan options, including: • Purchase loans: Financing the acquisition of new buildings or land. • Construction loans: Facilitating the development of your project. • Refinance loans: Restructuring your existing mortgage for better terms. • SBA loans: Providing access to government-backed financing for qualified businesses. The Medallion Funds Difference: We go beyond simply finding a loan. We take the time to understand your goals and develop a personalized strategy. Here's what sets us apart: • Expertise: Our brokers have a deep understanding of both residential and commercial lending. • Competitive Rates: We leverage our strong lender relationships to secure the best possible terms. • Streamlined Process: We handle the paperwork, keeping you informed every step of the way. • Exceptional Service: We're committed to providing you with a positive and stress-free experience. Ready to Take the First Step? Contact Medallion Funds today for a free consultation. Let's discuss your financing needs and help you achieve your dreams!

Back to Blog

10 Tips for First-Time Homebuyers

Buying your first home can be both exciting and nerve-wracking at the same time. With so many things to consider and....

How To Choose the Right Lender for You

Lorem Ipsum is simply dummy text of the printing and typesetting industry. Lorem Ipsum has been the industry's standard dummy

Refinancing youe loan and when to do it

Lorem Ipsum is simply dummy text of the printing and typesetting industry. Lorem Ipsum has been the industry's standard dummy

Copyright ©2021 | Mortgage Viking Team

Licensed to Do Business | NMLS # 228246


This is not an offer to enter into an agreement. Not all customers will qualify. Information, rates and programs are subject to change without notice. All products are subject to credit and property approval. Other restrictions and limitations may apply. Copyright Ā© 2021 | Medallion Funds


Corporate | NMLS ID NMLS # 1825831

Corporate Address : 2651 N. Green Valley Pkwy STE. 101 Henderson, NV 89014

Corporate NMLS NMLS # 1825831 | Company Website: https://medallionfunds.com/bill-rapp/

Copyright ©2021 | Mortgage Viking Team Licensed to Do Business | NMLS # 228246

This is not an offer to enter into an agreement. Not all customers will qualify. Information, rates and programs are subject to change without notice. All products are subject to credit and property approval. Other restrictions and limitations may apply

Corporate | NMLS ID NMLS # 1825831

Corporate Address : 2651 N. Green Valley Pkwy STE. 101 Henderson, NV 89014 https://medallionfunds.com/bill-rapp/