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DSCR & Investor Loans

DSCR and investment property loans

A DSCR loan qualifies the property, not the person. If the rent covers the mortgage payment, taxes, insurance and any HOA, you can qualify without tax returns or pay stubs.

Key facts

Qualifies on
Rent divided by the full monthly payment (DSCR)
Down payment
Typically 20-25% on purchases
Vesting
Personal name or LLC
Property types
1-4 family, some condos, 5+ units separately

Who it's for

  • Investors with multiple rental properties
  • Self-employed owners with heavy write-offs
  • Buyers closing in an LLC
  • Owners taking cash out of paid-off rentals

From two-family homes in Brooklyn and North Jersey to rentals in Florida and the Poconos, DSCR loans fit how investors actually buy. We see investors use cash-out DSCR refinances on paid-off 2- and 3-family homes to fund the next purchase.

Pricing moves with the ratio: a property whose rent comfortably exceeds the payment gets better terms than one that barely breaks even. We model several structures so you can see the trade-offs.

Questions

What DSCR do I need?

Many lenders want 1.0 or higher, meaning rent at least equals the payment. Some programs go lower with more down.

Can I close in my LLC?

Yes. Most DSCR programs allow LLC vesting with a personal guarantee.

Do you need my tax returns?

No. DSCR loans rely on the lease or an appraiser's rent estimate, plus credit and reserves.

Questions about DSCR & Investor Loans?

A licensed loan officer will walk you through the numbers, usually the same day.