DSCR Rental Loan
DSCR Rental loans are a financing option for investors looking for a long-term solution at an attractive rate. Underwriting is heavily weighted on the DSCR (Debt-Service Coverage Ratio) and not on the individual's DTI (Debt to Income), making this an ideal low rate alternative to finance an active rental property.
Standard Loan Terms
‣ Max Loan Amount: $2,000,000
‣ Max LTV (Loan to Value): 85%
‣ Rate: Starting at 6%
‣ Loan Term: 30 years
‣ Payment: Monthly Principal and Interest
‣ Prepayment penalty: 5 years (with option to buy it down)
‣ No minimum credit score required
‣ Closing time: 3 to 4 weeks on average
‣ Second liens are permitted
‣ Short-term rentals are allowed
Standard Requirements
‣ Credit Application (1003) filled and signed
‣ Last 2 bank statements (Of an US bank account)
‣ Copy of ID
‣ Copy of Borrowing Entity documents (Closeable under personal name too)
‣ Purchase Contract (If the loan entails purchase)
‣ Property Insurance
‣ Lease Agreement (If applicable)