1st Advantage MortgageFirst-time investors welcome
DSCR loans for rental investors, qualified on the rent
Buy or refinance an investment property across the Southeast and select states nationwide. Qualify on the property's rental income instead of personal income documents. We shop specialist lenders so the deal is judged by the property, not your paycheck.
Free to ask. No credit pull to start. A division of 1st Advantage Mortgage, NMLS #2468711.
The rent covers the payment. Depending on the lender, programs accept 1.0 or higher.
- Fewer income documentsQualify on the property's rent.
- First investment? WelcomeDepending on the lender, programs need no landlord history.
- One application, depending on the program, lendersCompared side by side for your file.
- 28 state pagesLocal notes for each market we serve.
Choose your market
DSCR loans in 28 states, with a page for each
Every state has different taxes, insurance, closing habits and rental rules. Pick yours for local notes, metros and questions investors there actually ask.
- ALAlabamaDSCR loans
- ARArkansasDSCR loans
- FLFloridaDSCR loans
- KYKentuckyDSCR loans
- NCNorth CarolinaDSCR loans
- SCSouth CarolinaDSCR loans
- LALouisianaDSCR loans
- TNTennesseeDSCR loans
- VAVirginiaDSCR loans
- WVWest VirginiaDSCR loans
- TXTexasDSCR loans
- OKOklahomaDSCR loans
- DEDelawareDSCR loans
- MDMarylandDSCR loans
- PAPennsylvaniaDSCR loans
- CTConnecticutDSCR loans
- MEMaineDSCR loans
- MAMassachusettsDSCR loans
- NHNew HampshireDSCR loans
- RIRhode IslandDSCR loans
- INIndianaDSCR loans
- MOMissouriDSCR loans
- OHOhioDSCR loans
- WIWisconsinDSCR loans
- COColoradoDSCR loans
- NMNew MexicoDSCR loans
- WAWashingtonDSCR loans
- WYWyomingDSCR loans
Buying in the Carolinas? North Carolina and South Carolina have full pages here too. Browse by region on the state index and the Southeast hub. DSCR loan availability varies by state and by property and is not an offer to lend.
Buying your first rental
Never owned an investment property? That is not a dead end.
Plenty of loan options assume you already have a track record. Several of the lenders we work with do not. Where lender guidelines allow it you can close on your first rental with no landlord history, qualifying on the property's rent instead of personal income documents, as long as the property pays for itself and your credit and cash are in order.
We will tell you early which programs fit a first-timer and what they ask for, so you do not waste an appraisal on the wrong one.
- Leverage up to about 80% on select first-time programs
- Credit commonly starting near 680
- A ratio of 1.0 or better is the usual target
- Extra reserves are common, so line up your cash early
- Depending on the lender, programs ask that you have owned your own home
The idea
One ratio does most of the talking
Divide a property's monthly rent by its full monthly payment: principal, interest, taxes, insurance and association dues. That quotient is the DSCR. At 1.0 the rent pays the bill exactly. Above 1.0 there is a cushion. The lender approves the loan largely on that number and on your credit and cash, never on your personal income.
Need to see it with your own figures? The DSCR calculator also estimates the biggest loan a given rent can support. For the full walk-through, read how DSCR loans work.
Ranges across our lender network, which vary by lender. Not every program offers every feature, and none of this is a commitment to lend.
Programs
Built around the way investors really buy
No single lender does everything, so we match the deal to the program. The full list is on the programs page.
First-time investors
Close on your first rental with leverage up to about 80% where lender guidelines allow it. How it works.
Ratios below 1.0
Depending on the lender, programs go down to about 0.75, and separate no-ratio options skip it. See the trade-offs.
Short-term rentals
Programs that count Airbnb and VRBO income. Read more.
Foreign nationals
U.S. properties for buyers abroad where lender guidelines allow it. Details.
Interest-only
Qualify on the lower payment. Learn more.
Cash-out refinance
Pull equity for the next deal. Learn more.
LLC borrowers
Hold title in your entity. Learn more.
5 to 8 units
Small apartment buildings. Learn more.
- Test the dealPlug rent, taxes and insurance into the calculator and see the ratio before you write an offer.
- Apply or askStart an application online, or request a quote first. Either way a loan officer reviews your scenario.
- Compare and lockSee rate, fees, prepayment terms and reserves side by side, then choose and lock.
- Appraise and closeThe appraisal confirms value and rent. Title, insurance and your closing professional finish the file.
Who it suits
A good fit when your tax return is not the whole story
Self-employed buyers
Business write-offs shrink taxable income. The property's rent does not care.
Portfolio builders
Each new purchase is judged on its own numbers, so a growing list of mortgages does not stall the next one.
Entity buyers
Depending on the lender, programs close in an LLC with a personal guarantee.
Out-of-state investors
You do not need to live where the property is. A manager and a clear rent figure matter more.
Who stands behind this
A division of 1st Advantage Mortgage
Southeast DSCR Loans is run by 1st Advantage Mortgage Broker LLC, doing business as 1st Advantage Mortgage, a mortgage broker and lender at 128 S Tryon St Suite 1933, Charlotte, NC 28202. Company NMLS #2468711. Look us up on NMLS Consumer Access.
Frequently asked questions
How does a DSCR loan differ from a regular mortgage?
A regular mortgage asks what you earn. A DSCR loan asks what the property earns. The lender compares the rent with the full monthly housing cost of the property (PITIA) and approves when that comparison clears the program's line. Because your employment income is not examined, the loan fits self-employed owners, people with many properties and investors buying their first rental.
Will I need to send my tax returns?
No, on every DSCR program. We do not collect tax returns, W-2s, pay stubs or any other proof of income. What we do collect is ordinary file material: credit, ID, statements showing your down payment and reserves, and paperwork for the property and its rent.
Is it realistic to buy my first rental with a DSCR loan?
It is, with lenders whose guidelines do not ask for landlord history. First-time investor files usually carry a lower leverage ceiling near 80%, a credit score from about 680, a ratio at or above 1.0 and a larger reserve cushion. Depending on the lender, programs also like to see that you have owned a home. See our first-time guide.
Does it matter if I have never owned a home?
It can, because some first-time investor programs want a stretch of primary-residence ownership and a few exclude first-time homebuyers. Others accept borrowers with no ownership history. Share your background at the start so we steer you to the lenders that will say yes.
How high does the DSCR need to be?
At 1.0 or above the rent covers the payment, and that is where depending on the lender, programs are comfortable. Depending on the lender, programs approve less, to about 0.75, and separate no-ratio options skip the test. A thinner ratio often calls for more cash down, deeper reserves or a different price. See DSCR below 1.0.
How much money should I bring to closing?
On a typical purchase, expect 20% to 25% down, closing costs and reserves. Strong files reach 85% loan-to-value where lender guidelines allow it, which cuts the down payment to 15%, while first-time investors more often top out near 80%. Short-term rentals, condos, small apartment buildings and thin ratios tend to need more.
Can I buy the property in my business entity?
Where lender guidelines allow it, yes. Expect a personal guarantee from the owners and entity paperwork such as an operating agreement, an EIN letter and a certificate of good standing. Depending on the program, lenders also take other entities or trusts. Your attorney should advise on structure, and the LLC page covers the lender side.
Where is this site available?
We list the states shown on the state index and add more as we confirm them. Availability varies by state and property, and being listed is not an offer to lend. The Carolinas are covered too, with a page for each state.