DSCR Loans for Real Estate Investors

Build your Investment Portfolio with Flexible Financing.

Qualify Based on Rental Income; Not Personal Income.

Whether you're purchasing your first investment property or expanding your real estate portfolio, a Debt Service Coverage Ratio (DSCR) Loan offers an alternative way to qualify. Instead of relying primarily on personal income, DSCR loans focus on the property's ability to generate rental income.

Ready to grow your portfolio?

What Is a Debt Service Coverage Ratio (DSCR) Loan?

A DSCR loan is designed for real estate investors who want to qualify using the property's cash flow rather than traditional income documentation.

Instead of reviewing tax returns, W-2s, or pay stubs, lenders evaluate whether the property's expected rental income can cover the monthly mortgage payment.

This makes DSCR loans an attractive option for:

• Real estate investors

• Self-employed borrowers

• Individuals with multiple investment properties

• Buyers using LLCs or business entities (where available and subject to lender guidelines)

Benefits of a DSCR Loan

• No Traditional Income Verification

• DSCR programs don't require W-2s or tax returns.

• Qualify Using Rental Income

• The property's rental income plays a key role in qualification.

• Expand Your Investment Portfolio

• Finance single family rentals, condos, townhomes, and eligible multi-unit investment properties.

• Flexible Financing Options

• Programs are available for purchases, refinances, and cash-out refinances.

How Does the DSCR Work?

The Debt Service Coverage Ratio compares a property's monthly rental income to its monthly housing expenses.

Example:

Monthly Rental Income: $3,000

Monthly Mortgage Payment: $2,500

DSCR = 1.20

Generally, a ratio above 1.00 indicates that the property generates enough income to cover the mortgage payment.

Who May Benefit from a DSCR Loan?

A DSCR loan may be a good fit if you:

✔ Own investment properties

✔ Plan to purchase rental property

✔ Are self-employed

✔ Have significant tax write-offs that reduce reported income

✔ Want to expand your real estate portfolio

Eligible Property Types

Financing may be available for:

• Single-family homes

• Condominiums

• Townhomes

• 2–4 unit residential properties

• Warrantable and eligible non-warrantable condos (program-dependent)

• Short-term rental properties (subject to program guidelines)

Take the Next Step Toward Your Investment Goals. Call Angela Today!

(949)412-2340