If you’re a savvy real estate investor, you may have considered Griffin Funding vs Defy Mortgage: Both non-QM lenders have been addressing investor frustrations since their founding. Whether it’s rigid income documentation, slow process, or limited investor-friendly programs, Defy Mortgage and Griffin Funding have each brought their own solutions to the table.
At Defy Mortgage, we’re an investor-centric non-QM specialist built to support ultra-flexible financing and real estate portfolios that scale indefinitely. Whether you’re a self-employed worker looking for affordable bank statement loans or a full-time investor seeking optimized DSCR loans, we can customize lending solutions that fit your specific needs and goals perfectly.
To help you make your decision between us and Griffin Funding, we’ll give you:
- A clear view of how each company is positioned in the market, and how that influences your experience.
- A side-by-side breakdown of their loan products most relevant for investors, especially non-QM and DSCR-type structures.
- An analysis of the true cost: rates, fees, and long-term cost implications.
- A comparison of application process, documentation burden, and timeline.
- Which lender may serve you best in which scenario, and how to take your next step.
TL;DR
- Griffin Funding is a full-service mortgage lender offering conventional, VA, FHA, jumbo, and non-QM products, while Defy Mortgage is an investor-focused non-QM specialist built for flexibility and scalable portfolio growth.
- Defy Mortgage offers specialized service to real estate investors, particularly STR operators and self-employed investors. Griffin Funding serves a broader borrower base, including veterans, homeowners, and first-time buyers.
- Griffin reports an average closing time of 34 days, while Defy Mortgage provides a more conservative estimate of 30-45 days.
- Griffin Funding is ideal for borrowers looking for both conventional and non-QM loan options, while Defy Mortgage is better suited for investors seeking flexible underwriting, tailored financing structures, and long-term relationship lending.
Griffin Funding vs Defy Mortgage: What is Their Market Positioning?
A key distinction when comparing Griffin Funding vs Defy Mortgage is their market positioning. Griffin Funding is a full-service mortgage company specializing in both conventional and non-QM products. Meanwhile, Defy Mortgage has always been non-QM product expert, providing streamlined processes and dedicated support specifically geared towards real estate investors. Defy Mortgage does offer conventional financing as well, however, they are most known for their non-QM lending, primarily DSCR loan options.
Company Scale and Experience
Griffin Funding is a national full-service mortgage company offering a wide range of both traditional and non-traditional loan products from conventional, FHA, and VA loans (their specialty) to non-QM products. Griffin is licensed to provide its full product stack in 46 states and DC, with approval pending or restrictions applied in Alaska, Missouri, Nebraska, and New York. Founded with the mission of providing affordable VA home loans to veterans, Griffin offers zero-down VA purchase loans, VA cash-out refinance, and VA streamline refinance (IRRRL).
Defy Mortgage was founded in 2022 and has been making waves in the non-QM space since. Our boutique specialist model has helped scores of investors achieve their financial goals, and set them on the track to long-term success.
As such, our primary non-QM loan offerings at Defy Mortgage include purchase, rate-and-term refinance, and cash-out refinance options for:
- DSCR loans: For real estate investors who want to qualify using the income of the property instead of their personal income. Up to 85% LTV (80% for cash-out refinance), $6M max loan amount, options down to 0.55 DSCR (no-ratio). Min 640 FICO and 3 months’ reserves.
- Bank statement loans: For individuals with complex income profiles, such as self-employed individuals. Qualify using your business or personal bank statements. Up to 90% LTV (80% for cash-out), $6M max amount. Min 640 FICO and 12 months of personal/business bank statements.
- P&L loans: Use business profit-and-loss statements to qualify. Up to 90% LTV (80% c/o), $6M max amount. Min 2 years business/self-employment history, 640 FICO, and 12 months of CPA-prepared profit-and-loss statements.
- Asset depletion loans: For individuals who want to secure financing using their significant liquid assets. Up to 80% LTV for both purchase and refinance, $6M max amount. 60-month terms available. Min 640 FICO.
Interest-only and foreign-national options are available for each. Defy Mortgage’s Mortgage Consultants have over 100 years of collective industry knowledge, allowing them to tailor their approach to your unique lending situation. Defy Mortgage is also licensed across multiple states to support investors nationwide, giving you access to consistent, high-quality financing wherever you choose to build your portfolio. Defy Mortgage is licensed in the following states and can currently service DSCR loans in an additional 35+ others: Alabama, California, Colorado, Florida, Georgia, Tennessee, and Texas. These combined strengths have helped Defy Mortgage earn a 4.8 average rating on Google Reviews.
Target Customer Focus
Griffin Funding’s product mix is targeted at a wide customer set, particularly veterans, self-employed borrowers, and real-estate investors. With both conventional and non-QM loans, Griffin is well-equipped to cater to a diverse array of lending scenarios.
Defy Mortgage, on the other hand, was founded with unconventional borrowers like real estate investors in mind. Our primary clientele includes Airbnb operators, long-term rental investors, real estate investors looking to refinance, large-scale real estate investors looking to purchase or refinance mixed-use properties, non-warrantable condo investors, first-time real estate investors and self-employed borrowers whose income doesn’t fit neatly into traditional income verification boxes. We are non-QM-first, offering flexibility and alternative income documentation requirements that banks and conventional lenders often struggle to provide.
Apart from non-QM underwriting, our team’s primary area of expertise lies in the country’s diverse real estate markets. Familiarity with the nuances of each market is one of our biggest core competencies, and we regularly employ this market-level insight as we structure our custom loans and help our clients build their overall real estate investment strategy.
Defy Mortgage vs Griffin Funding: Loan Products and Investment Solutions Comparison
How a lender structures their loan products can decide how many deals you can close per year or how easily you can refinance or extract equity as your portfolio grows. Let’s size up Defy Mortgage’s offerings with Griffin’s.
DSCR Loan Specifications
Both Griffin Funding and Defy Mortgage prominently offer DSCR products that allow qualification based on a property’s rental income rather than personal W-2 income, but their public guidance differs in specificity. Let’s take a closer look at each lender’s DSCR offering:
| Specification | Defy Mortgage | Griffin Funding |
| Minimum credit score | 640 | 620 |
| Maximum LTV (purchase) | 85% for DSCR > 1.000 and 740+ FICO for loan amounts under 1.5 million | 85% for DSCR > 1.000 and 740+ FICO for loan amounts under 1.5 million |
| Maximum LTV (cash‑out) | 80% | 80% |
| Minimum DSCR ratio | 0.55 and no-ratio DSCR options available | Typically 0.75. No-ratio DSCR available, but with max LTV of 75%. |
| Min loan amount | $75,000 | $100,000 |
| Max loan amount | Flexibility up to $6M+ (can go higher), depending on LTV, credit score, and DSCR. | Up to $20M with >1.000 DSCR, 720+ FICO, and 0-6 months cash reserve. |
| Eligible property types | Single‐family rentals (SFRs) Multi‐family rentals up to 9 units 2-4 unitsPUDsTownhomesRow homesSite‑built condosModular homes Warrantable and non‑warrantable condosCo‑opsCondotels We also have a dedicated program for Airbnb STRs. Please note that property type eligibility varies by loan type, LTV etc. | CondosTownhomesSingle-family rentalsMulti-family homes of up to 10 unitsRural properties (with acreage limitations) |
| Reserves | 3 months usually | Depends on DSCR, FICO, and loan amount |
Relationship Lending
As an investor-centric non-QM lender, Defy Mortgage’s products scale with our relationship with you. This pairs well with the fact that there’s effectively no hard cap on how many properties you can get with DSCR loans.
All you have to do is find properties with good DSCRs and prove your ability to manage them. As your relationship with Defy Mortgage deepens, we’ll be able to approve you for more and more acquisitions, potentially with better terms depending on the scenario and possible exceptions. Combined with equity financing tools such as DSCR cash-out refinances and DSCR HELoans, Defy Mortgage lets you take full advantage of the value of your entire investment property portfolio.
Griffin Funding also supports building relationships with multi-property investors with options such as DSCR cash-out refinance programs with no hard caps. Like Defy Mortgage, they also offer DSCR HELoans to help investors scale portfolios.
Specialized Investment Programs for Real Estate Investors
Aside from the usual non-QM options, Defy Mortgage and Griffin Funding also offer specialized loan programs for specific lending scenarios, primarily those lending scenarios for real estate investors.
Defy Mortgage
Beyond standard non-QM offerings such as DSCR loans and bank statement mortgages, Defy Mortgage offers a robust suite of specialized non-QM investor products, including:
- Foreign national loans: Financing built for international investors who may lack U.S. credit or residency, focusing instead on global assets and property performance to make U.S. real estate more accessible.
- DSCR HELOANs: Equity-tap solutions that let investors unlock capital from existing rentals without personal income documentation, using cash flow–based underwriting to fund new purchases, renovations, or portfolio expansion.
- Asset depletion loans: Programs that convert qualified assets into income for qualification, ideal for high-net-worth individuals, retirees, or entrepreneurs with significant assets but variable or non-traditional income.
- Short-term rental (STR) DSCR program: Specialized DSCR loans underwritten using STR income projections or historical Airbnb/VRBO performance, enabling financing for properties that outperform traditional long-term rental models.
Griffin Funding
Griffin funding offers specialized investor products as well:
- DSCR/asset hybrid loans: Aside from rental income, investors can also use their assets to add to their qualifying income for a DSCR loan.
- Residential transition loans: Griffin’s main fix-and-flip offering, RTLs offer up to 90% loan-to-cost. However, borrowers must borrow under an LLC.
Defy Mortgage vs Griffin Funding: Rates, Fees, and Total Cost Analysis
Griffin Funding and Defy Mortgage differ significantly in terms of cost structure. Let’s take a look at the major differences in cost of lending between the two lenders:
Rate Comparison by Loan Type
In general, non-QM rates are often 0.5%-2% higher than conventional loan rates, with higher origination and processing fees as well.
| Type of Loan | Defy Mortgage | Griffin Funding |
| DSCR loan rate (purchase) | 5.875%* *Rate based on 30-year fixed DSCR SFR purchase on an investment property in TX, $1,000,000 purchase price, 50% LTV, 800 FICO, 5-year-prepay, 1.26 DSCR and 3 months reserves. Noted rate as of November 19th 2025. Subject to change. | 7.75% for a 30-year fixed mortgage on a $800,000 California home, with 760+ FICO, 55% LTV, and a 30-day lock-in period. Can be as low as 6.25% with a 3.125-point buydown (equal to 3.125% of the loan amount paid upfront). |
| DSCR loan rate (cash-out refinance) | 6.000%* *Rate based on 30-year fixed DSCR SFR C/O refinace on an investment property in CA, $1,000,000 purchase price, 60% LTV, 800 FICO, $300,000 cash-out, 5-year-prepay, 1.26 DSCR and 3 months reserves. No first-time investor or STR. 0x30x24 mortgage lates. Noted rate as of November 25th 2025. Subject to change. | 7.75% for 30-year fixed at 760+ FICO. Can be as low as 6.125% with a 2.5-point buydown. |
| Bank statement loan rate (purchase) | 5.999%* *Rate based on 30-year fixed primary purchase SFR, bank statement 24-months personal, $1M purchase price, 60% LTV, 800 FICO, 12% DTI, 6 months reserves in CA. Noted rate as of November 25th 2025. Subject to change. | 6.875% for 30-year fixed bank statement loan at 781+ FICO and a 0.875-point buydown. Can be as low as 6.125% with a 3.125-point buydown. |
| P&L loan rate (purchase) | 6.250%* *Rate based on 30-year fixed primary purchase SFR, P&L 24 Mo. CPA prepared, $1M purchase price, 60% LTV, 800 FICO, 12% DTI, 6 months reserves in CA. Noted rate as of November 25th 2025. Subject to change. | Rates not disclosed at time of writing |
Griffin Funding vs Defy Mortgage: Application Process and Timeline Comparison
For investors, speed and clarity on the application process can be a big strategic advantage. Let’s look at how the two lenders differ:
Documentation and Underwriting
Defy Mortgage and Griffin Funding have a few differences in terms of required paperwork, underwriting processes, and timelines:
| Category | Defy Mortgage | Griffin Funding |
| Documentation Required | Bank-statement loans: 12–24 months of bank statements.P&L business-income loans: CPA-prepared profit & loss statement for the past 1-2 years.DSCR loans: Require lease documentation / proof of rental income.If borrowing via LLC: Formation / operating agreements, proof of ownership required.Cash reserve documentation for DSCR: minimum 3 months of reserves. | Documentation centers on Griffin’s “three Cs”: capacity, credit, collateral.Bank statements, asset statements, and rental income documentsEntity docs (LLC formation / operating agreement) when applicable.Griffin sends applicants a list of supporting documents upon application. |
| Underwriting Process | Standard underwriting procedures with focused human oversight, supported by state-of-the-art AI technology where it improves precision. This lets us apply nuanced judgment to our underwriting for complex investor scenarios. | Uses a proprietary AI-powered underwriting assistant called Loan Intelligence Assistant (LIA) to speed up underwriting. |
| Estimated Timeline | Application: 1–2 days, plus 1–3 days for DSCR pre-qualification and 1-2 days for rate lock/initial review.Appraisal & Underwriting: ~7–21 days.Final approval and closing: ~3–5 days after underwriting.Overall, many DSCR loans can close in around 3 weeks to 45 days, depending on documentation speed. If you are in need of faster closing, please let us know and we can try our best to accommodate. | Griffin targets a full application timeline of 30 days or less. They also report that they have closed DSCR loans in as little as 6 calendar days, although the average is around 34 days. |
Technology and Communication
At Defy Mortgage, we emphasize investor education through our Learn hub, which features content on the various non-QM loan types, investor strategies, and creative financing techniques. Our tech platform is built around fast pre-approvals, direct outreach, and ongoing support. Each of our Mortgage Consultants is standing by 24/7 to answer any questions you might have; just give us a ring at (615) 622-1032 or schedule an appointment, and we’ll be with you ASAP
We also have a TPO business: Defy TPO. Affectionately referred to as D3 TPO, Defy TPO’s team is made up of seasoned non-traditional mortgage brokers with a keen understanding of all the frustrations and roadblocks non-QM brokers have to face. This is what fuels their commitment to do things differently, with terms such as:
- Min loan amount: $150K; $75K for DSCR loans.
- Max loan amount: $4M for primary residences ($3.5M for investment properties)
- Max LTV:
- Up to 85% LTV for investment purchases (with DSCR ≥ 1.000) (pending fico and property type)
- Up to 90% for bank statement loans and P&L loans (purchases and R/T refi)
- Up to 80% for asset depletion loans
- Foreign National DSCR Options: Yes
- Min FICO: Down to 600 pending loan option
- DSCR < 1.00 /No ratio DSCR options available.
- Cash-in-Hand: Yes, $1M Cash-in-Hand C/O
- DSCR property types: (pending loan options)
- SFR/Single Family
- PUD
- Townhome
- 2-4 Unit
- Condos (No LTV Adjustments)
- Non-Warrantable Condos: Max LTV 75%
- Rural Properties: Purchase Only, Max LTV 65%, Min DSCR % >1.000
- Short Term Rentals (STR) Not Allowed on rural
- 5-10 Units Attached
- 2-8 Units Mixed Use with Maxx 25% Commercial Space
- Seasoning: Minimum seasoning of 6 months’ ownership for DSCR HELoans.
Griffin Funding also provides personal support with regional phone support and branch contacts for each loan category (non-QM and conventional/VA). Be sure to check out their business hours before reaching out.
Start Your Investment Journey Now with Defy Mortgage
If you’re ready to expand your real estate portfolio or unlock capital from existing properties, Defy Mortgage is built for investors who value speed, clarity, and flexibility.
- DSCR loans: With LTV up to 85% for purchase and rate-and-term refinance and loan amounts up to $6M (up to 80% LTV if cash-out). LTV pending FICO, DSCR and property.
- Bank statement loans: With up to 90% LTV and loan amounts up to $6M (up to 80% for cash-out refinance).
- Profit-and-loss (P&L) loans: Up to 90% LTV for purchase and rate-and-term refinance (80% for cash-out). Loan amounts up to $6M.
- Asset depletion loans: Up to 80% LTV for purchase and refinance, loan amounts up to $6M.
And much more, with interest-only and foreign national options as well. And each option is fully customizable to fit your exact financial situation. With our unmatched flexibility and streamlined underwriting process, Defy Mortgage’s loan programs are designed to keep your investments moving forward.
Start your next investment today by scheduling an appointment on our site or calling us at (615) 622-1032. We’ve always got a Mortgage Consultant standing by 24/7 to answer any questions you might have.
Conclusion
In the real estate market of 2025 and beyond, flexibility and speed are more important than ever. Sizing up Griffin Funding vs Defy Mortgage, you’ll find that both offer strong non-QM solutions, but Defy Mortgage can offer you transparency, hands-on underwriting, and investor-centric processes that keep your deals moving.
If you’re ready to start your journey with us, book an appointment or reach us at (615) 622-1032. One of our mortgage experts will be with you as soon as possible.
And if you’re a mortgage broker, Defy Mortgage’s ultra-flexible terms can be yours to originate with confidence through Defy TPO. The Defy TPO team is made up of brokers who have stood in your shoes before, so when it comes to non-QM lending, they know how to structure, problem-solve, and close even the most complex investor files. Not quite convinced yet? Send us your trickiest pricing scenarios, and we’ll show you how we build our solutions.
FAQs
What are the main differences between Griffin Funding and Defy Mortgage for real estate investors?
While Griffin Funding and Defy Mortgage are both non-QM lenders, there are a few differences between the two:
| Category | Defy Mortgage | Griffin Funding |
| Lender Focus | Full-service, investor-specialized lender focused exclusively on non-QM products for real estate investors and self-employed borrowers looking for alternative income documentation methods with ease and flexibility. | Full-service mortgage lender offering conventional, jumbo, FHA, VA, and non-QM products to a wide range of borrowers. |
| Product Scope | Primarily non-QM loansLoans for real estate investor specialistsConventional loans also available | Conventional loansNon-QM loansVA loans |
| Primary Borrower Base | Airbnb operatorsLong-term rental investorsReal estate investors looking to refinanceLarge-scale investors purchasing or refinancing mixed-use propertiesNon-warrantable condo investorsFirst-time real estate investorsSelf-employed borrowers whose income doesn’t fit traditional verification methods | VeteransHomeownersFirst-time buyersInvestors |
Which lender offers better rates for DSCR loans?
What mortgage rate you get will depend on your specific financial situation, but in terms of the lowest possible rate, Defy Mortgage offers the best rate at 5.875% compared to Griffin’s 6.125%. Defy Mortgage’s rate assumes a 30-year fixed DSCR SFR purchase on an investment property in TX, $1,000,000 purchase price, 50% LTV, 800 FICO, 5-year-prepay, 1.26 DSCR and 3 months reserves. Griffin’s rate assumes 760+ FICO, 55% LTV, and a 30-day lock-in period for an $800,000 home in California as of November 25, 2025. Subject to change. Please contact your lender of choice for exact rates.
Where should I get DSCR loans with high-loan-to-value-ratios (LTVs)?
If you need high-LTV DSCR loans, your best option is to work with a lender that specializes in non-QM investor financing rather than a traditional bank. Defy Mortgage is built specifically for real estate investors with complex income, making it one of the strongest choices for higher leverage. We typically offer up to 85% LTV DSCR (purchase and r/t refi) depending on the property and credit profile, with flexible documentation and fast, investor-focused underwriting. If your goal is to scale your portfolio efficiently, we give you the leverage and speed that conventional lenders often can’t match. For exact LTVs and rates, please contact us.
What makes a condo “non-warrantable”, and how does this affect DSCR loans?
A condo is considered non-warrantable when it doesn’t meet Fannie Mae or Freddie Mac’s requirements, often due to high investor concentration, short-term rentals, low HOA reserves, litigation, or excessive commercial use. Traditional lenders avoid these properties, but DSCR lenders like Defy Mortgage are more flexible because we don’t rely on agency guidelines. That means investors can still finance non-warrantable condos through Defy Mortgage as long as the property’s cash flow is strong, making us a key option for STR-friendly buildings and mixed-use developments that other lenders won’t touch.
How do the closing timelines compare between Griffin Funding and Defy Mortgage?
Griffin targets closings in under 30 days, although they report that the average is 34 days. However, they also claim that they have closed DSCR loans in only 6 days.
At Defy Mortgage, we give a more conservative estimate of at least 30-45 days. However, if you need a fast closing time, please reach out to the team and we can do our best to accommodate.
Can I finance multiple investment properties with either lender?
Yes, both Griffin Funding and Defy Mortgage offer investment property loans that can support multiple properties. However, Griffin does not provide specifics on relationship lending perks.
Defy Mortgage specializes in building long‑term relationships with investors, with better terms potentially unlocking for repeat clients, such as higher loan amounts and possible exceptions.
Which lender is better for first‑time real estate investors?
For first‑time investors, the right lender depends on your background and investment strategy, but Defy Mortgage stands out if you want flexibility and higher borrowing capacity with creative structuring. Many lenders won’t finance first-time investors at all, while Defy’s DSCR programs are designed to support both new and experienced investors with accessible qualification paths and deal-focused underwriting that helps you start scaling your portfolio sooner.
Which lender is better for building long‑term investor relationships?
Both Griffin Funding and Defy Mortgage build long-term relationships with investors, but Defy Mortgage’s specialized focus can provide stronger relationship benefits. One of the most prominent benefits is our Mortgage Consultants who are well-versed in diverse markets across the US. As they get to know you and your investment strategy, they can help you fine-tune your approach and acquisitions to minimize your tax obligations and maximize the benefits of house appreciation and state tax advantages.
