DSCR Loans for Real Estate Investors
Qualify based on rental income, not personal tax returns. Available for investors in 7 states
What Is a DSCR Loan?
Eligible Property Types
DSCR loans may be available for:
Single-family rental homes
Condos and townhomes
Multi-unit properties
- Short-term rental properties, depending on program
Eligibility depends on property type, location, and rental income documentation.
Mortgage Marketplace LLC is licensed to help real estate investors in Oregon, California, Washington, Idaho, Texas, Florida, and Montana. View full licensing information.
A DSCR loan qualifies you based on a rental property’s income rather than your personal tax returns, W-2s, or employment history. Lenders calculate your Debt Service Coverage Ratio by dividing the property’s gross monthly rent by its total monthly housing expense. A ratio of 1.0 means the rent covers the payment exactly. Most programs prefer a ratio of 1.2 or higher.
Mortgage Marketplace is licensed to help investors access DSCR loans in Oregon, California, Washington, Idaho, Texas, Florida, and Montana.
How DSCR Loans Are Evaluated
DSCR is calculated by comparing the property’s gross rental income to its monthly housing expenses, including principal, interest, taxes, insurance, and HOA dues if applicable.
- A DSCR of 1.0 means the rental income covers the payment
- Higher DSCR ratios may offer more favorable terms
- Some programs allow flexibility depending on reserves and property type
Loan guidelines vary by lender and property profile.
Who DSCR Loans Are Designed For
DSCR loans are commonly used by:
- Real estate investors
- Buyers purchasing rental properties
- Short-term or long-term rental owners
- Borrowers with complex income
- Investors scaling portfolios
These loans are intended for non-owner-occupied properties.
Is a DSCR Loan Right for You?
A DSCR loan is the right fit if you want to finance an investment property without submitting personal income documentation. These loans typically require a higher down payment than conventional loans and a strong property cash flow profile.
We compare DSCR options across multiple lenders so you find the program that fits your investment strategy.
DSCR Loan Questions, Answered
Common questions about how DSCR loans work, who qualifies, and what to expect.
1. What is a good DSCR ratio?
2. Do DSCR loans require personal income verification?
No. DSCR loans qualify based on the property’s rental income, not your personal tax returns, W-2s, or employment history. This makes them well-suited for self-employed investors, retirees, or borrowers who have strong cash flow but complex personal income documentation.
3. Can I get a DSCR loan for a short-term rental?
Some DSCR programs accept short-term rental income such as Airbnb or VRBO income for qualification. Not all lenders offer this. Lenders may apply a vacancy adjustment to projected short-term rental income. Confirm short-term rental eligibility with us before applying as requirements vary by program and lender.
4. How much down payment does a DSCR loan require?
Ready to Finance Your Next Investment Property?
We compare DSCR loan options across multiple lenders so you can see real rates based on your property’s cash flow. Licensed in OR, CA, WA, ID, TX, FL, and MT.
review YOUR
DSCR Loan Options
DSCR loan requirements and terms vary by lender and property profile. Start with a personalized review to explore investor loan options and determine next steps.
