DSCR loan programs at a glance

Yes. Across our lender network, select programs accept first-time investors with no prior rental history. These files are commonly capped at about 80% LTV, usually want a credit score starting around 680, a DSCR of 1.0 or higher and extra reserves. Some programs ask that you have owned a home for 12 months, and a limited number of programs consider applicants who have never owned a home. There are no tax returns, W-2s or pay stubs. See first-time investor DSCR loans. Not a commitment to lend.

A DSCR of 1.0 or higher, meaning the rent covers the full payment, is the common benchmark and gets the widest choice of programs. Across our lender network, select programs accept ratios as low as 0.75, and a few offer no-ratio options where the rent does not have to cover the payment at all. Those lower-ratio programs usually ask for a larger down payment, more reserves or higher pricing. What is allowed depends on the program, so treat any number as general guidance and not a promise. See DSCR loans below 1.0 and no-ratio loans.

It depends on the program and the purpose. Purchases commonly go to 75% or 80% LTV, and select programs go to 85% for strong credit and a DSCR of 1.0 or higher. Cash-out refinances are usually lower, often 65% to 75%, and up to 80% on select programs. First-time investors are commonly capped near 80%, ratios below 1.0 near 70% to 75%, foreign nationals near 70% to 75% and 5 to 8 unit properties near 75% on a purchase.

Most DSCR programs start at about $100,000, and some start at $150,000 or $250,000, so very small balances can have fewer choices. Maximums commonly run to $2 million or $3 million, with higher limits on select programs and for stronger files. First-time investor and lower-ratio files are often capped lower than experienced-investor files.

No. There is no income verification of any kind on a DSCR loan: no tax returns, W-2s, pay stubs, bank statement income analysis or employment verification. The loan is underwritten on the property's rent, your credit, your assets for the down payment and reserves, and the property itself. You sign a business-purpose certification because the loan is for investment property.

Common eligible property types include single-family homes, townhomes, 2 to 4 unit properties and many warrantable condos. Select programs also finance 5 to 8 unit residential properties, non-warrantable condos and short-term rentals. The property must be an investment property that you do not occupy as a primary residence. Rural, unique and very small properties may be limited to fewer programs. See 5 to 8 unit DSCR loans.