As of August 14, 2026

DSCR Loans

DSCR stands for debt service coverage ratio, and it is the question the whole loan turns on: does the property’s rent cover the property’s payment? When it does, the loan qualifies on that relationship. Your personal tax returns stay out of it, your other financed properties stop counting against you, and title can be held in an LLC.

These are business-purpose loans for investment property only, never for a home you intend to occupy. Rent can be established from a lease in place, from a market rent analysis on a vacant property, or from recognized market data for short-term rentals. Leverage and prepayment options vary by program and deserve a real conversation, because they shape both your entry and your exit.

Common questions this product answers: My bank says I have too many rental properties and How much can I borrow on a rental with 10 percent down?