What Is a DSCR Loan?
DSCR stands for Debt Service Coverage Ratio. It's a long-term loan (up to 30 years) approved based on whether the property generates enough rental income to cover the loan payment.
No W-2, tax returns, or income verification required. Approval is 100% based on the property's ability to generate enough rental income to cover the debt payment.
DSCR Loan Advantages
Especially attractive for foreign investors and those looking to scale their portfolio
No Tax Returns
No complex tax documentation. Ideal if you have no US filing history.
Scalable
No property limit. Each property is evaluated independently.
Real Deal Example
Single-family rental in Orlando — DSCR 1.05
Frequently Asked Questions
What DSCR do I need to qualify?
Minimum 1.0 (rent covers the payment). Ideal 1.25+ for better rates and conditions.
Can I use a DSCR loan as a foreign national?
Yes. It's one of the best products for foreign nationals because it doesn't require US income documentation. You operate through an LLC.
Can I use it to refinance after a fix and flip?
Absolutely. It's the BRRRR strategy: buy, rehab, rent, refinance with DSCR, and repeat. One of the most efficient ways to scale.
Is there a prepayment penalty?
It depends on the product. Some have 3-5 years of prepayment penalty, others don't. We discuss it based on your investment strategy.
Can I have multiple DSCR loans?
Yes. There's no property limit. Each property is evaluated independently, so you can scale your portfolio without restrictions.
Looking for long-term passive income?
Let's evaluate whether your property qualifies for a DSCR loan.