Buy Investment Property without Tax Returns, W-2’s or Paystubs
Smart Financing for Real Estate Investors
The DSCR loan is designed for real estate investors who want to qualify based on the property’s income—not their personal income. Whether you’re growing a rental portfolio, purchasing a short-term rental, or refinancing an existing asset, DSCR loans offer a fast, flexible solution.
What Is a DSCR Loan and Who Should Use It?
What is DSCR?
DSCR (Debt Service Coverage Ratio) is calculated as:
DSCR = Gross Rental Income / PITIA
Where PITIA stands for Principal, Interest, Taxes, Insurance, and HOA (if applicable).
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A DSCR of 1.0 means the property breaks even.
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A DSCR above 1.0 indicates positive cash flow, which can result in better pricing and loan terms.
Who This Loan Is For
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Real estate investors with multiple properties
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Self-employed borrowers with limited documented income
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Short-term rental (STR) operators and Airbnb hosts
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Foreign nationals investing in U.S. real estate
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Borrowers seeking fast, low-documentation closings
Benefits of a DSCR Loan
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No income or employment verification required — no W2s, pay stubs, or tax returns. Qualification is based solely on the property’s rental income.
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Close fast — as little as 10 days. With simplified documentation, DSCR loans are faster to process than traditional mortgages.
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Ideal for investors and LLCs — suitable whether buying in your personal name or through an LLC. Investment use only.
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Finance almost any investment property — including single-family rentals, short-term rentals (Airbnb/VRBO), 2–8 unit multifamily, and even mixed-use properties (case by case).
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Scalable for portfolio growth — no limit on the number of financed properties, allowing you to grow your real estate portfolio without traditional loan limits.
DSCR Loan Parameters
- Qualification: Based on property’s rental income (typically DSCR ≥ 1.0 required)
- Minimum DSCR: Usually 1.0 (some lenders accept as low as 0.75 with pricing adjustments)
- Credit Score: Minimum 620–660 (best rates at 700+)
- Loan Amount: $75,000 – $5,000,000+
- Loan-to-Value (LTV): Up to 85% for purchases / 75% for cash-out refinances
- Property Types: 1–8 unit residential, condos, townhomes, short-term rentals, mixed-use
- Occupancy: Investment properties only (non-owner occupied)
- Loan Terms: 30-year fixed, 40-year fixed, interest-only, 5/6, 7/6, or 10/6 ARMs
- Prepayment Penalty: Typically 3–5 years (may be waived or bought down)
- Reserves: 3–12 months of PITIA depending on credit and experience
- Ownership Structure: LLCs, corporations, or personal name accepted
- Income Docs Required: None — just rental income and property analysis (via appraisal or lease)
- PMI: Not required, even above 80% LTV
Check out what your investor ratio is by using our DSCR Investor Mortgage Calculator…
Our mortgage calculators are for demonstration purposes only and may not reflect actual numbers for your specific mortgage. Contact us and we will walk you through the best possible mortgage scenario for your specific needs!
The DSCR for this loan is
Monthly Payments
Principal & Interest (P&I)
$
Taxes & HOA
$
Homeowners Insurance
$
Debt Service Coverage Ratio
(Rental Income / Mortgage Payment)
Rental Income
$3,000
Monthly Mortgage
$3,000
DSCR
0.90
Estimated Taxes & Insurance
Property taxes are generally estimated to be 1.2% of the home's value, but may vary based on your location. Annual homeowners insurance is roughly 0.35% of the home's value but can change based on insurer. Your loan specialist can help you determine property tax and insurance rates in your area.
Estimated Payment
$ /mo
Loan amount
$
Down payment
$
Interest rate
Loan term
Property tax
Homeowner's insurance
$
HOA dues
$
Payment Breakdown
Amortization
Principal vs. Interest
Amortization Schedule Breakdown
Our detailed amortization schedule breaks down your mortgage payments, showing how they are split between interest and principal over the life of your loan.
Note: The actual monthly payment may be higher than what is shown here, as this schedule does not account for variable costs such as property taxes and home insurance, which are often included in your total mortgage payment.
- Principal payments: $$240,000 (the amount borrowed)
- Interest payments: $$297,554 (the cost of borrowing)
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