Business
DSCR Rentals
Specializing in financing for non-owner occupied investment properties, including 1–4 family homes, condos, townhomes, and PUDs. Whether you are securing a new long-term rental loan, seeking a cash-out refinance to grow your portfolio, or looking for a more competitive rate and term, we provide the capital to maximize your real estate assets.
LTV
Purchase: Up to 80% of the Purchase Price (based on appraisal) Refinance: Up to 80% of the As-Is Value Cash-Out: Up to 75% of the As-Is Value
Loan Amount
55k to 2 Mil
DSCR
Debt Service Coverage Ratio - 1.0
Rates
Starting at 5.75%
Popular Question
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Understanding DSCR Loans: Funding Based on Performance
A Debt Service Coverage Ratio (DSCR) loan is a specialized financing solution for real estate investors that prioritizes the property's income over the borrower's personal financial history. Instead of reviewing tax returns or W-2s, lenders evaluate the ratio between the property’s monthly rental income and the total mortgage payment (PITI) to ensure the asset can support itself.
The Math Behind the Deal: How is DSCR Calculated?
We determine your eligibility by looking at how well the property pays for itself. By dividing the Gross Monthly Rent by the Total Monthly Debt (PITI + HOA), we find your DSCR. Example in Action: If your rental brings in $2,000 and your total loan payment is $1,600, your ratio is 1.25. Any result over 1.0 means your asset is cash-flowing. A strong DSCR allows us to offer more competitive rates and higher leverage for your portfolio growth.
What is the required DSCR ratio for approval?
While most traditional lenders require a DSCR of 1.0 or higher to prove the property’s income covers its debt, we offer more versatile solutions. We understand that every investment strategy is unique; therefore, we can often provide financing options for properties with ratios below 1.0 depending on the specific strengths of the deal.
Can I qualify as a first-time investor or without a traditional W-2?
Yes. DSCR loans are an exceptional tool for self-employed individuals and first-time investors alike. Because we prioritize the property’s cash-flow potential over your personal tax returns or employment history, your path to approval is much simpler than traditional bank financing.
What property types are eligible for DSCR financing?
Our DSCR programs are designed to support a wide array of investment strategies. We provide funding for: Residential Units: Single-family homes and small multifamily (2–4 units) properties. Commercial Residential: Large multifamily complexes and mobile home parks. Short-Term Rentals: Active Airbnb and VRBO investment properties. Specialized Assets: Commercial properties, including self-storage facilities. No matter the asset class, we focus on the property's income potential to get your deal closed.
What is the required down payment for a DSCR loan?
For most long-term rental projects, down payments typically range between 20%–25%. The final requirement is determined by several factors, including the total loan amount, the asset type, and the property's specific DSCR ratio. For high-performing properties with strong cash flow, we can often explore even lower down payment options to help you keep more capital in your pocket.
What documents are required for a DSCR loan approval?
The beauty of DSCR loans is the minimal documentation required. Here's what we typically need: A rent roll or lease agreement (or projected market rent if it's vacant) A purchase contract (for purchases) Your LLC or entity docs (Articles of Incorporation, Operating Agreement, EIN) Last 2 months of bank statements showing proof of funds for down payment, closing costs, and reserves Front & Back images of your driver’s license A completed loan application (we’ll send you a simple intake form) We don’t require tax returns, W2s, or personal income verification — the deal is approved based on the asset itself.
How fast can you close a DSCR loan?
Efficiency and transparency are the hallmarks of our lending process. We can typically close a DSCR loan in as little as 10–15 days, depending on the speed of document submission and the appraisal turnaround time. Our relationship-driven model ensures that as fast as you move, we move right along with you to get your deal funded.
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