DSCR Loans – Debt Service Coverage Ratio Loans

Instead of reviewing your personal income, lenders look at the property’s DSCR to determine if the rental income can cover the proposed mortgage payments.

• DSCR = Gross Monthly Rent / Monthly Mortgage Payment
• A DSCR of 1.00 or higher means the property covers its own expenses.
• The higher the DSCR, the stronger your approval chances and terms.
  
  

Key Benefits

• No Income Docs Required
  You won’t need to provide W-2s, tax returns, or bank statements.

• Close in an LLC or Personal Name
  Flexibility to structure your investment as needed.

• Fast Approval & Funding
  Minimal paperwork speeds up the underwriting process.

• Perfect for Portfolio Growth
  Use cash-flowing rental properties to qualify and scale quickly.
  
  

Basic Eligibility Guidelines

• Property Types: 1–4 unit residential properties, short-term rentals (Airbnb/VRBO) allowed with documentation
• Loan-to-Value (LTV): Up to 80% (Exceptions to 85% LTV with scores above 700)
• Minimum FICO Score: Typically 660+
• DSCR Minimum: As low as 0.75, but better pricing at 1.00+
• Ownership: Must be a rental/investment property (not owner-occupied)

Note: Guidelines may vary slightly depending on lender and property type.