2024 · North Dakota

How investors finance real estate in North Dakota

In 2024, 779 investment-property loans worth $150M were originated on single-family 1-4 unit homes in North Dakota. Here's how those terms compared to the rest of the country.

Investor rate premium

88 bps

U.S. median: 88 bps

Denial rate

5.8%

U.S. median: 17.2%

DSCR / business-purpose

69%

U.S. median: 69%

Median LTV

75%

U.S. median: 75%

What the numbers say

Investors in North Dakota borrowed at a median rate of 7.25%, versus 6.375% for owner-occupants — a 88 bps premium that ranks 33rd of 51 states.

Their applications were denied 5.8% of the time. The leading reasons for denial were debt-to-income ratio, credit history, credit application incomplete.

69% of investor loans were business- or commercial-purpose — the category that includes DSCR and LLC-held loans — and 5% were cash-out refinances. The typical loan-to-value was 75%, implying about 25% down.

ProInvestorHubInvestor rate premium: North Dakota vs the nationExtra basis points investors pay over owner-occupantsNorth Dakota88 bpsU.S. median88 bpsHighest (Mississippi)163 bpsSource: CFPB HMDA 2024 · proinvestorhub.comProInvestorHub

Frequently asked questions

How much more do investors pay for a mortgage in North Dakota?

In 2024, the median investment-property loan in North Dakota carried a rate of 7.25% versus 6.375% for an owner-occupant — a premium of 88 bps. That ranks 33rd of 51 states (1 = highest premium).

What share of investor loan applications are denied in North Dakota?

5.8% of investment-property applications were denied in North Dakota in 2024, the 51st-highest denial rate among the 51 states. The most common denial reasons were debt-to-income ratio, credit history, credit application incomplete.

How common are DSCR and business-purpose investor loans in North Dakota?

69% of investor loans in North Dakota were flagged as primarily business or commercial purpose — the bucket that includes DSCR and LLC-held loans (23rd of 51). The median loan-to-value was 75%.

Source: CFPB / FFIEC HMDA Data Browser (loan-level public dataset), 2024. Single-family 1-4 unit, site-built loans; financed purchases only.