Qualify on the property’s income.
Long-term rental financing for buy-and-hold investors, evaluated primarily on the property’s debt-service coverage ratio (DSCR), through approved lending partners.
For buy-and-hold investors.
DSCR loans look mainly at whether a rental property’s income covers its debt payments, rather than relying only on personal income documents.
- Purchasing a rental property
- Refinancing out of a fix and flip, bridge or construction loan
- Cash-out refinance on a stabilized rental
- Growing a rental portfolio
What the program can look like.
Illustrative structure only. Each lending partner sets its own leverage, pricing, terms and requirements.
Rates, leverage, terms, draw structures, interest-reserve and non-Dutch interest features, and closing timelines are not guaranteed. They vary by lending partner and program and are subject to underwriting, appraisal, title review and approval. Business-purpose investment property only.
How DSCR is calculated.
DSCR compares a property’s monthly rent with its monthly housing payment: principal, interest, taxes, insurance and association dues (PITIA).
The formula
DSCR = monthly rent ÷ monthly PITIA. A result above 1.00 means rent covers the payment.
Illustrative example
Rent of $2,400 ÷ PITIA of $1,900 = a DSCR of about 1.26. Example numbers only — not a quote or approval.
What lenders weigh
DSCR, credit, leverage, reserves, property condition and the market rent estimate.
Where it fits
DSCR is a common exit from fix and flip, bridge or construction financing.
Documents lenders commonly ask for.
The exact list depends on the lending partner. Please don’t email SSNs, bank statements or ID documents — we’ll share a secure upload link when it’s time.
- Purchase contract or current mortgage statement
- Lease(s) or market rent estimate
- Insurance quote and property tax figures
- Entity documents
- Reserves documentation
Common questions.
Is DSCR financing available for my primary home?
No. DSCR loans are business-purpose loans for investment property only.
What DSCR do I need?
Each lending partner sets its own minimum, and we review it with you during your inquiry.
Can I refinance a flip into a DSCR loan?
Often, yes, once the property is rented or rent-ready. Terms depend on underwriting.
