Ohio Second Home Loans and Mortgage Solutions

Financing Your Dream Second Home

Considering a second home in Ohio? Whether it’s a vacation property in the Hocking Hills, a seasonal lake house near Sandusky, or a downtown Cleveland condo, BNB Lending offers second home loans tailored to part-time occupancy. We help you navigate Ohio’s property tax classifications, short-term rental laws, and financing guidelines. Our second home loans offer fast closings, flexible terms, and guidance on compliance with both lender expectations and Ohio-specific tax considerations—so you can secure your second home with confidence.

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How to qualify

To obtain a quote, we will need the following information:

Property Value and

 Purchase Price


Down Payment

Amount


Credit Score

 

Asset Types

  • Single Family Homes
  • Townhomes
  • Condos
  • 2 - 4 Units (Duplex, Triplex, Quadplex)
  • Multi-Family: 5 - 8 Units
  • Mixed-Use: 2 - 8 Units
  • Multi-Family: 9+ Unit



Loan Terms


  • Loan Sizes: $100k up to $3.5 Million (Larger loan sizes available on a case by case basis)
  • Purchase LTV: Up to 85%
  • Rate & Term Refinance LTV: Up to 80% 
  • Cash Out Refinance LTV: Up to 80%
  • Amortization: 30 Year % 40 Year Amortization Options Available
  • Term Lengths: 5/6 ARMs, 7/6 ARMs, 10 Year Interest Only, 30 Year Fixed & 40 Year Fixed
  • Floor Rate: 5.50% (subject to change daily due to market volatility)
  • Full Recourse with personal guarantee required for all borrowers with majority ownership (typically 20%+ or 25%+ if closing in an Entity)
  • DSCR Requirement: 1.00x or greater depending on loan size and property type. Sub-1.00x DSCR and NO DSCR options available.
  • Vesting: Lending to Individuals, LLCs, and Corporations. Trusts Allowable on a Case by Case Basis.
  • Average Time to Close: 14 to 35 days

Wondering if you qualify for investment property financing in your area?


We offer lending services in all 50 states!

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Frequently Asked Questions

What are the requirements for a second home loan in Ohio?

Ohio second home loans follow standard federal lending guidelines. The property must be a one-unit residence, suitable for year-round occupancy, and personally used by the borrower for part of the year. It cannot be primarily used as a short-term rental or owned by an LLC. Most lenders require a 10–20% down payment, strong credit, and verifiable income. Ohio does not impose additional lending rules, though HOA covenants or local zoning may affect how the property can be used. BNB Lending evaluates your goals and property details for eligibility.

How do short-term rental rules affect loan classification?

STR use may affect whether your loan qualifies as a second home loan or must be structured as an investment loan. While Ohio does not have statewide STR regulations, many cities—including Columbus and Cleveland—require STR licenses and collect local lodging taxes. The state imposes a 5.75% sales tax on short stays. At BNB Lending, we assess your intended rental frequency, local permitting rules, and income plans to ensure your financing structure remains compliant with both lender and Ohio municipal requirements.

Do second homes qualify for property tax benefits in Ohio?

Ohio second homes do not qualify for a homestead exemption. However, most are assessed at 35% of their market value under the residential classification, which applies to properties with one to two units. Homes with three or more units or with business use may be assessed as commercial. BNB Lending helps you understand how your second home in Ohio will be taxed based on its use and structure. We incorporate projected property taxes into your financing strategy to ensure affordability and long-term cost planning.

Can I deduct mortgage interest on a second home?

Mortgage interest on a second home may be deductible on both federal and Ohio state tax returns, provided you itemize and the property is used personally for part of the year. If the home is rented short-term, deductions must be prorated based on occupancy. Ohio mirrors federal deduction standards and does not impose extra limits beyond those set by the IRS. At BNB Lending, we structure your second home loan with tax efficiency in mind and recommend speaking with a CPA familiar with Ohio's rules.

Are there second home loan programs in Ohio?

Ohio Housing Finance Agency programs—including down payment assistance—are limited to primary residences. These programs are intended for first-time buyers or income-qualified homeowners and do not apply to second homes. At BNB Lending, we provide private second home mortgage options across Ohio, from vacation towns to city centers. Our team supports you through property classification, STR compliance, and financing that aligns with both your lifestyle and regulatory requirements.

What types of properties qualify for second home loans?

Second homes must be one-unit dwellings used primarily for personal occupancy and suitable for year-round living. Eligible property types include single-family homes, condos, and townhouses. Multi-unit properties and timeshares are excluded. In Ohio, classification depends on property size and use—homes with one or two units are typically residential, while larger or income-focused properties may be reclassified. BNB Lending evaluates your property’s structure and intended use to ensure it meets second home loan qualifications.

Who benefits from choosing a second home loan over an investment loan?

These loans are perfect for self-employed individuals, LLCs, and investors managing multiple properties. If you plan to use your Ohio home primarily for personal stays and only rent it occasionally, a second home loan may offer better rates and terms than an investment loan. These loans must be in your personal name—not held by an LLC. BNB Lending structures Ohio second home loans to provide flexibility while keeping your financing compliant with lender and zoning guidelines.

Thinking beyond Ohio? Explore Airbnb loans and second home opportunities in nearby states like Indiana or Pennsylvania to expand your portfolio.