DSCR (Debt Service Coverage Ratio)

Debt Service Coverage Ratio (DSCR) Non-QM

This product will allow borrowers to qualify for investment properties based on the monthly rental income of the subject property & credit history rather than their current income. The DSCR product is intended for experienced investors. An experienced investor is a borrower who must have a history of owning and managing commercial or residential real estate for at least 12 months in the last 3 years.

FAQs

Can you use a DSCR loan to purchase an investment property in California?

In California, you can secure a Debt Service Coverage Ratio (DSCR) loan to invest in properties. These loans are particularly popular with investors because they base your eligibility on the rental income generated by the property, rather than your personal employment or income history. DSCR loans are a great option if you’re aiming to expand your investment portfolio or if you need to access cash from an existing rental property.

Can you use a DSCR loan to refinance an investment property in California?

Yes, you can refinance a Debt Service Coverage Ratio (DSCR) loan in California. These loans, tailored for real estate investors, assess a property’s cash flow in relation to its debt obligations. Refinancing offers investors the opportunity to enhance their property portfolio by securing lower interest rates, accessing cash, or adjusting loan terms.