DSCR Loans: The Investor’s Secret Weapon

Grow your real estate portfolio without using your tax returns. Get a FREE quote on a DSCR loan and qualify based on the property’s cash flow, not your personal income.

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OVERVIEW

The Lowdown on DSCR Loans…

A DSCR loan is a type of Non-QM (Non-Qualified Mortgage) loan designed for real estate investors. Traditional mortgages require “Ability to Repay” verification through W2s, pay stubs, and tax returns. DSCR loans are different.

The “Debt Service Coverage Ratio” is a simple calculation: Does the monthly rent of the property cover the monthly mortgage payment (PITIA)? If the answer is yes, the property qualifies for the loan.

This allows investors to scale their portfolios quickly. Since your personal debt-to-income (DTI) ratio is never calculated, you aren’t limited by how many mortgages you already have or how much “personal” income you show on your taxes. If the deal makes sense, we fund it.

Benefits

Why Choose a DSCR Loan?

No Personal Income Verification

No W2s, no pay stubs, and no tax returns required. We don’t care about your “day job” income; we care about the property’s rental income.

Scale Faster

Traditional lenders usually cap you at 10 properties. With DSCR, there is virtually no limit to the number of properties you can finance.

Close in an Entity

Protect your personal assets by closing the loan in the name of an LLC or Corporation.

Ideal for Short-Term Rentals

We offer specialized DSCR programs that use AirDNA data or “Short-Term Rental” income projections to help you qualify for Airbnb and VRBO properties.

Flexible Credit Requirements

While credit scores still matter for your interest rate, the underwriting focus is on the asset’s performance.

Eligibility

DSCR Loan Standards

Requirement Standard Notes
Credit Score 620+ Rates drop significantly at 700 and 740+ scores.
Down Payment 20% – 25% 20% is standard; 15% is possible for high-performing assets.
Property Type Investment Only 1-4 units, Condos, and Townhomes. (No primary residences).
Max Loan Amount Up to $3M+ Higher limits available for multi-family portfolios.
Prepayment Penalty 1 to 5 years Standard for investor loans, but can often be “bought down.”
IS THIS RIGHT FOR YOU?

DSCR Loans Are Ideal For…

Scenario 1: The Self-Employed Investor
Your tax returns show many deductions, making your “income” look low to a traditional bank. A DSCR loan ignores those taxes and looks only at the rental’s potential.
Scenario 2: The Airbnb Entrepreneur
You’re buying a vacation rental. We use market data to project your seasonal income, allowing you to qualify for a high-value property that a standard bank wouldn’t touch.
Scenario 3: The “BRRRR” Refinance
You just finished a flip and want to keep it as a rental. Use a DSCR loan to “cash-out” your equity based on the new, higher rent and move that cash into your next deal.
Scenario 4: The Career Investor
You already have 15 properties and your “DTI” is a mess according to Fannie Mae. DSCR allows you to keep growing your empire without the paperwork headache.
DSCR FAQs

Frequently Asked Questions

Ready to Let Your Property Pay for Itself?

Stop stressing over tax returns and start focusing on the deal. See what your DSCR ratio looks like today.