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DSCR Loans

Qualify on rental income,
not your W-2.

DSCR loans are designed for real estate investors — you qualify based on the property's rental income, not your personal tax returns. Scale your portfolio without the traditional income documentation headaches.

  • No personal income verification required
  • No tax returns, no W-2s, no pay stubs
  • Loans from $100K to $5M+
  • Single-family, multi-family, and short-term rentals
  • Close in as little as 21 days
Compare DSCR Loan Rates

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DSCR loan snapshot

1.0+Min. DSCR ratio
$5M+Max loan size
21 daysTypical close time
Vetted investor lenders  ·  No SSN required to compare
What Is a DSCR Loan?

Investment property financing based on cash flow

DSCR stands for Debt Service Coverage Ratio — a measure of whether a property generates enough rental income to cover its mortgage payments. Lenders use this ratio instead of your personal income to determine loan eligibility.

This makes DSCR loans ideal for self-employed investors, those with complex tax returns, or anyone who wants to scale their portfolio without their personal income being the limiting factor.

A DSCR of 1.0 means the property's income exactly covers the debt payments. Most lenders require 1.0–1.25+. The higher your DSCR, the better your rate and terms.

How DSCR is Calculated

DSCR = Gross Rental Income ÷ PITIA

PITIA = Principal + Interest + Taxes + Insurance + Association fees


Example: Property rents for $3,000/mo. Monthly PITIA = $2,400.
DSCR = $3,000 ÷ $2,400 = 1.25 ✓ Qualifies

Qualification Requirements

What do DSCR lenders look for?

Qualification is simpler than conventional loans — here's what matters.

Typical requirements:

  • DSCR ratio of 1.0 or higher (some lenders allow 0.75+)
  • Credit score of 620+ (680+ for best rates)
  • 20–25% down payment
  • Property must be investment (non-owner-occupied)
  • 6 months reserves preferred
  • No personal income documentation required

Eligible property types:

  • Single-family rentals (SFR)
  • 2–4 unit properties
  • Multi-family (5+ units)
  • Short-term rentals (Airbnb/VRBO)
  • Condos and townhomes
  • Mixed-use properties
How It Works

Get your DSCR loan in three steps

One form. Multiple competing lenders. No personal income docs needed.

1

Tell Us About the Property

Share the property address, estimated value, current or projected rental income, and how much you're looking to borrow.

2

Compare Investor Lender Offers

We match you with vetted DSCR lenders from our network who compete for your loan — you see real rates, LTVs, and terms side by side.

3

Close Fast — Scale Your Portfolio

DSCR loans close in as little as 21 days. No tax returns, no W-2s — just the property's income doing the work.

FAQ

Common questions about DSCR loans

Yes — many DSCR lenders allow you to use a market rent appraisal (1007 form) to project rental income for a property that isn't yet rented. This is especially useful for new acquisitions or properties you're converting to rentals.

Yes — many lenders now accept short-term rental income for DSCR qualification. They typically use AirDNA data or a 12-month rental history to calculate the DSCR. Rates may be slightly higher for STR properties due to income variability.

Some lenders offer "no-ratio" DSCR loans for borrowers with strong credit and significant down payments (30%+), even if the DSCR is below 1.0. These come with higher rates but allow investors to acquire properties that don't yet cash flow positively.

Yes — DSCR loans are commonly structured in the name of an LLC or other business entity. This is actually preferred by many investors for asset protection purposes. Most DSCR lenders are familiar with LLC structures and can accommodate them.

DSCR loan rates are typically 0.5–1.5% higher than conventional investment property loans, reflecting the reduced documentation requirements. However, the speed, flexibility, and ability to scale without personal income limits often make DSCR loans the preferred choice for serious investors.

Ready to scale your rental portfolio?

Compare DSCR loan rates from vetted investor lenders — no personal income docs, no obligation.

Compare My DSCR Loan Rates