(800) 321-8100Call the teamFor real estate investors. Share your property scenario and the AFN team follows up with the DSCR options that may fit.
0+
Years lending
0hr
Typical follow-up
0
Credit pull to start
American Financial Network, Inc. · Company NMLS #237341
No credit pull. No obligation. The AFN team follows up personally.
Not an application for credit or a commitment to lend. Privacy Policy · Terms of Use
DSCR stands for Debt Service Coverage Ratio — a comparison of a rental property's income to the payment on the loan. Qualification centers on whether the property supports itself, so personal income documentation plays a smaller role than it does on a conventional loan.
The ratio is generally calculated by dividing gross rental income by the total monthly payment, including principal, interest, taxes, insurance and any HOA dues. Minimum ratios, reserve requirements and down payment expectations vary by lender and by property type.
Owners adding single-family or small multifamily rentals to a growing portfolio.
Investors who have reached the financed-property limits typical of agency lending.
Investors who prefer to hold title in an LLC rather than in their personal name.
Items above are typical examples only. Required documentation varies by program, lender and borrower scenario.
Is my personal income reviewed?
DSCR programs focus on property cash flow, so personal income documentation is typically far lighter than on a conventional loan.
What if the property is vacant?
Some programs allow a market rent estimate from the appraisal in place of an executed lease.
Can I close in an LLC?
Entity vesting is commonly available on DSCR programs, subject to lender requirements.
The AFN team works with specialty programs every day. Here’s a quick look at what may fit your situation.
Designed with self-employed borrowers in mind.
For business owners and self-employed borrowers whose tax returns may not fully reflect their cash flow, bank statement programs may provide another way to document qualifying income.
Financing designed around investment-property cash flow.
Debt Service Coverage Ratio loans may allow qualifying real estate investors to use the property's expected or existing rental income as a key part of the qualification process rather than relying solely on traditional personal-income documentation.
More flexibility for borrowers with unique financial situations.
Non-Qualified Mortgage programs can provide additional options when a borrower's income, assets, property type or overall financial picture falls outside traditional agency guidelines.