Managing an Airbnb property has become increasingly prevalent as travelers frequently seek more relaxed and inexpensive accommodations while on vacation. Airbnb, Vrbo, etc has become exceedingly popular and continues to present profitable prospects for short term real estate investors looking to diversify their portfolio.

In fact, some argue that buying a property to rent on Airbnb is one of the best ways to invest in real estate. The toughest part is finding vacation rental loans. Airbnb financing can be difficult to get because most Airbnb properties do not have a lease in place that most lenders require — leaving short term real estate investors in a tough place. As a consequence, the question on most Airbnb investors’ minds is usually “Can I get a loan for Airbnb property?”

Fortunately, we are not like most lenders and appreciate real estate investors trying to increase their passive income to help pay the bills. At Tidal Loans we make financing airbnb properties simple. We understand how to underwrite short term rentals, and recognize that when done correctly investors can maximize their cash flow. As a result, we provide short term rental loans to investors looking to place their properties on sites such as Airbnb and VRBO. Let us help you fund your next short-term rental property for you or your clients!


At Tidal Loans we make Airbnb host financing simple and easy. We provide vacation rental loans for real estate investors Nationwide. We offer Airbnb lending on single family loans, 2-4 units and 5+ multi-family properties.


  • 640+ Fico – 1.25x Qualifying at IO Payment
  • 30-year fixed rate long term financing. (ARM’s available as well)
  • Rates start a 3.5%
  • No income verification, or tax returns required.
  • DSCR Calculated on Interest Only with Interest Only Loans
  • Purchase, Rate & Term or Cash Out


When you partner with Tidal Loans, we can provide long-term financing for Vrbo and Airbnb properties to generate cash flow. We deliver speed, leverage, and consistency to both highly experienced and new real estate investors.
Here are the details:

  • LLC’s, Corporations, and LP’s Only
  • Loan Amounts 1-4 unit properties $75K- $2M. Max $5M for 5+ multi-family properties.
  • Interest Rates Start at 3.5%
  • Underwriting-> We use AIRDNA to determine daily booking rates for DSCR calculations. Properties must be B-Market Grade.
  • 30 Year Fixed, ARM and Interest-Only options.
  • Max 80% LTV on Purchases and 75% on Refinances
  • Lending Area- Nationwide except-> MN,SD,ND,VT,AL,CA,OR,AZ,UT,OR,ID,NV
  • Provide necessary short term rental compliance permit. (If required in that city)
  • Each state/city will have different laws for Airbnb’s, for ex. some cities like Austin TX require the property to be a primary residence.


As Airbnb mortgage lenders we have seen on average that short term rentals tend to yield a higher gross income than traditional rent. Short term rentals as a strategy by itself does not generate a higher income. It is highly dependent on the real estate investor ability to:

1.) Find a property in an attractive location where tourist would like to visit and stay.
2.) Being able self-manage or higher a third-party manager able to handle the constant turn over and provide exemptional customer service, after all this is a service business.
3.) Being consistent; ability to get good reviews and become a superhost.

Airbnb Investment: Pros And Cons


Let’s start with the pros of becoming a airbnb host.

Maximizing Income

Usually, the biggest driver for investors considering VRBO investments and Airbnb investments. Airbnb provides short term rental owners the control to set their own pricing and regulate it during peak seasons.

Property Maintenance

Properties typically suffer less wear and tear due to shorter-term stays than traditional rentals. Property is frequently cleaned, and if there are issues with a property, the guest will typically bring it to your attention to be quickly fixed.


Potentially Higher Operating Cost and Upfront Costs

One of the biggest Airbnb pitfalls we have seen from clients is under estimating the operating costs. Airbnb properties must be operated as a business. Some often overlooked cost of renting your home on Airbnb are:

  • Airbnb service fees.
  • Higher property management fee’s compared to traditional rent
  • Cleaning fees.
  • Amenities such as television subscription services
  • Insurance coverage.
  • Local fines.
  • Furnishing and decorating the property

Relying On A Third Party Platform. (Airbnb/VRBO)

  • As great as those platforms are for host, there is a slight risk considering the host does not have any control of the platform or what potential changes that may be coming for the platform in the future. (Which is why ensuring the property can still cash flow via traditional rent is important)

Not Having Multiple Exit Strategies

When analyzing your next VRBO investment property, consider the traditional market rent in the area, just in case the sharing/ traveling economy takes a breather (like we saw during Covid)


If accommodating large parties, there is a chance the guests may damage your property. There are certain steps Airbnb hosts can take to prevent bad guest from damaging your property or causing horrific incidents:
1.) Actively Screen Potential Guest
2.) Purchase insurance tailored to short-term rentals

Other Private Money Investment Property Loans We Provide

Tidal Loans offers other private investment property loan options throughout the county. If you already have a property that needs funding, you can talk to us about our:

Fix and Flip Loans-> We fund up to 90% of the Purchase Price and 100% of the Repairs. We allow 90% CLTV (Will fund up to 100% of purchase and rehab in major Texas cities for tier 1 borrowers)

New Construction Loans-> For Builders and Developers. We fund up to 75% of the After-Construction Value. 85% LTC, and up to 100% of the hard construction cost. We can also assist with funding the land acquisition!

Rental Property Loans-> Our landlord loans are great for buy and hold investors. Our program allows our clients to grow their portfolio faster. Investors can pull out up to 80% of the appraised value, even if you owned the property for just a week, as long as the property has been renovated. We do not verify income either, because we care about the property cash flow, not our clients. Our rates start at 3.5% and we offer 30 year fixed terms, 30 year amortization, allowing our rental property investors to cash flow more each month!

Transactional Funding -> For wholesaler’s who need to double close with their seller. Tidal Loans will fund 100% of the closing with no cash out of pocket.

Multi Family Loans/ Mixed Used Loans-> Our program consists of minimal down payment for multifamily apartment real estate investors looking for apartment rehab loans.
Up to 85% LTC, 90% CLTV and 100% of rehab funds. This program is for apartment buildings and provides you with the flexibility and leverage to profit on Multifamily & Mixed-use investment opportunities that may need rehab or low occupancy. We also offer a 30-year loan program for investors looking to cashflow their property long term.

Commercial Property Loans-> We provide private commercial hard money loans for commercial real estate investors. We go up 65% LTV for our commercial bridge loans and commercial rehab loans. We offer 70% LTV and 80% CLTV on our long term commercial hard money loans at a 30 year amortization with a 30 year term. A commercial hard money loan is a good alternative to traditional bank financing when time is of the essence or borrowers don’t meet traditional guidelines for whatever reason.