Last updated: December 2025
Quick answer
Large-balance private loans have become essential in luxury real estate investing due to their speed, flexibility, and asset-based underwriting. They allow investors to acquire, renovate, or refinance high-end residential properties without the delays and restrictions commonly associated with traditional jumbo lending.
Luxury real estate deals don’t wait, and neither should your financing.
In today’s competitive housing market, high-end residential investors are increasingly turning to large-balance private loans to fund purchases, renovations, or refinance strategies for properties in the $3M–$10M+ range.
Traditional lenders often struggle to keep pace with the fast-moving, high-stakes nature of luxury real estate transactions. Whether you’re acquiring a distressed estate in Beverly Hills, renovating a $7M home in Malibu, or repositioning a high-end rental property, private loans offer a distinct advantage.Here’s why large-balance private capital is now a cornerstone of luxury residential investing, and how to leverage it to grow your portfolio.
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What is a large-balance private loan?
A large-balance private loan is an asset-based mortgage typically ranging from $3 million to $20 million or more, used to finance residential investment properties that fall outside conventional or jumbo loan guidelines.
These loans are funded by private investors or private mortgage lenders, not banks or agencies, and are commonly used for:
- Luxury home acquisitions
- High-end fix-and-flip projects
- Bridge financing for underwritten sales
- Short-term ownership restructuring
- Cash-out refinancing for liquidity or reinvestment
- Renovations prior to listing or refinancing
Unlike bank loans, private loans are evaluated based on the property and exit strategy, not strict income or credit documentation.
This approach mirrors established asset-based lending frameworks, where underwriting centers on collateral controls, valuation, and repayment source (exit strategy) rather than borrower income documentation.
Why high-end investors choose private loans over traditional jumbo mortgages
1. Speed of execution
Tightened bank underwriting standards and longer approval timelines, as documented in the Federal Reserve’s senior loan officer lending standards survey, have further widened the execution gap between traditional jumbo lending and private capital.
Traditional jumbo loans can take 30–60 days to close, and often require extensive documentation. Private loans from Marquee Funding Group can be approved the same day and funded within 5–10 business days, making it ideal for seizing time-sensitive opportunities.
2. Flexible underwriting
Private lenders use common-sense, asset-based underwriting, which means:
- No tax returns, W-2s, or pay stubs required
- Loans can be made to LLCs, trusts, or retirement accounts
- Credit history typically matters less than equity and exit strategy
- Foreign nationals and self-employed investors are eligible
3. Custom-tailored terms
Every luxury deal is unique. Private lenders can structure:
- Interest-only payments
- Short or extended loan terms (typically 12–24 months)
- Bridge-to-permanent financing
- Creative solutions for complex title or ownership issues
Use cases: When large-balance private loans are essential
Fast-close luxury purchase
An investor finds a $6.5M off-market property in a prime coastal market and needs to close in 10 days. The bank can’t underwrite it fast enough, but a private loan bridges the gap and allows the deal to close on time.
High-end fix and flip
A $4.2M dated property in an A+ neighborhood has serious upside. The investor secures a $3.1M private loan to cover purchase and renovations, with a clear exit through resale at $6.8M post-rehab.
Cash-out refinance for liquidity
An investor owns a $9M luxury rental free and clear but needs $3M in cash for another acquisition. A private lender offers a low LTV interest-only loan based on the current appraised value. No income docs required.
Typical terms for a large-balance private loan
| Loan feature | Typical range or structure |
| Loan amount | $3M–$20M+ |
| LTV (loan-to-value) | Up to 70% of as-is or ARV |
| Term length | 12–24 months (renewable) |
| Interest rate | 9%–12%, interest-only |
| Points | 1.5%–3% upfront |
| Funding timeline | 5–10 business days |
| Eligible borrowers | Individuals, LLCs, trusts, IRAs |
Loans can be structured to fund:
- Acquisition only
- Acquisition + renovation (value-add)
- Refinance or cash-out
- Bridge to sale or long-term financing
How private loans compare to traditional jumbo loans
| Feature | Private large-balance loan | Traditional jumbo mortgage |
| Speed to close | 5–10 Business days | 30–60+ days |
| Underwriting | Asset-based | Income- and credit-based |
| Documentation | Minimal | Extensive (W-2s, tax returns, etc.) |
| Borrower type | Flexible (LLCs, trusts, etc.) | Primarily individuals |
| Property type | Unique, nonconforming OK | Must meet strict guidelines |
| Use of funds | Renovation, bridge, cash-out | Purchase or long-term refi |
| Exit strategy | Sale, refi, or hold | Hold |
Who benefits most from large-balance private loans?
These loans are ideal for:
- Luxury flippers executing large-scale rehabs
- High-net-worth investors seeking liquidity
- Foreign nationals purchasing U.S. property
- Self-employed borrowers with non-traditional income
- Real estate professionals with access to off-market deals
- Trust or entity buyers needing non-recourse options or strategic structuring
At Marquee, we work directly with borrowers and brokers to customize loans that align with your vision and deal.
Unlock capital for high-end investing on your timeline
In high-end residential real estate, timing and execution are everything. Whether you’re acquiring, upgrading, or refinancing, large-balance private loans give you the edge you need to act fast and invest with confidence.
At Marquee Funding Group, we’ve helped experienced luxury investors—with a track record of 3+ luxury builds—close quickly, access millions in capital, and structure creative deals that banks simply can’t match.
Let us help you do the same on your terms and your timeline. Tell us about your high-end residential project. Get started with Marquee Funding Group today.
Frequently asked questions: Large-balance private loans
Marquee can fund large-balance loans in 5–10 business days, depending on documentation and title readiness. Same-day approvals are available.
No. While credit is considered, it is not the primary factor. Equity, property strength, and exit strategy are more important.
Yes. Private loans are ideal for high-end rehabs, especially when you need fast capital to complete renovations prior to resale.
Marquee lends to individuals, entities, and trusts, with flexible underwriting designed for complex ownership structures.
Absolutely. Many investors use private loans as a bridge to traditional financing once the property is stabilized or seasoned.