DSCR loan programs at a glance

What the lenders we work with offer, shown as ranges instead of one lender's menu.

Menu at a glance

No lender offers everything, so we compare. Across our network, where lender guidelines allow it: credit from about 600, purchase leverage up to 85%, loan sizes of roughly $100,000 to $3 million, ratios down to about 0.75, interest-only payments, short-term rental income, foreign national borrowers, cash-out refinancing, LLC ownership and 5 to 8 unit buildings. Qualification rests on the property's rent instead of personal income documents.

Each cell below is a range found somewhere in our lender network, not what any single lender offers. Guidelines vary and change. We will show you what fits your file.

Feature	Range across the network	Read more
First-time investor	Up to about 80% LTV, credit near 680, ratio 1.0 or better	First-time guide
Ratio below 1.0	Down to about 0.75 where lender guidelines allow it, no-ratio on a few	Below 1.0
Short-term rental	Platform history, bank deposits or a market projection, with an expense factor on some	Short-term rentals
Foreign national	Roughly 65% to 75% LTV, U.S. LLC, larger reserves	Foreign national
Interest-only	Often a ten-year interest-only period, sometimes qualifying on that payment	Interest-only
Cash-out refinance	Commonly 65% to 75%, up to 80% where lender guidelines allow it	Cash-out
LLC or entity	Depending on the lender: with a personal guarantee	LLC loans
5 to 8 units	Up to about 75% LTV, experienced investor generally required	5 to 8 units
Credit score	From about 600 where lender guidelines allow it, 620 to 680 common	Requirements
Loan size	About $100,000 up to $3 million, higher where lender guidelines allow it	Calculator
Reserves	None where lender guidelines allow it, about 3 to 6 months on many	Requirements
Property types	Single-family, townhome, 2 to 4 unit, many condos, plus more where lender guidelines allow it	How it works

Picking a lane

Most investors fit one of a few lanes: the first-time buyer who wants a clean single-family rental, the portfolio builder who wants to keep adding, the short-term rental owner whose income is seasonal, the foreign buyer, or the owner pulling cash out of a property that has appreciated. Each lane has a different handful of lenders that are comfortable with it, which is why a quick conversation at the beginning saves weeks later.

What stays the same on every program

The property must be an investment, not your home
The loan is approved largely on the rent compared with PITIA
Your credit and cash are reviewed, your income is not
An appraisal confirms value and market rent
Depending on the lender, programs carry a prepayment penalty, so the schedule is part of the price

Frequently asked questions

Who actually makes the loan?

1st Advantage Mortgage is a Charlotte, NC broker and lender. For DSCR files we compare several specialist wholesale lenders and show you the options together, so you are not limited to one lender's menu.

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 many rentals can I finance?

Depending on the lender, programs do not set a property count the way conventional rules do. A lender can still cap its own exposure to you or ask for more reserves as the portfolio grows, so we line up a program that fits your plan.

What happens if I pay the loan off early?

Many DSCR loans charge a declining percentage of the balance for several years. You can often choose a longer schedule for a lower rate or a shorter one for a higher rate, and depending on the program, lenders or states restrict them. Request the schedule in writing before locking and match it to your plan.