Rental Income-Based Loan
DSCR Loans in Florida
Long-term loans based on the property's rental income, not your personal income. No W-2 or tax returns required.
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.
The DSCR Formula
Debt Service Coverage Ratio
DSCR = NOI / Debt Payment
DSCR above 1: the property generates more income than the payment. Qualifies.
DSCR equal to 1: rent exactly covers the payment. Minimum acceptable.
DSCR below 1: the property doesn't generate enough income. Does not qualify.
DSCR Loan Advantages
Especially attractive for foreign investors and those looking to scale their portfolio
No W-2 Required
No need to prove personal income. The property speaks for itself.
No Tax Returns
No complex tax documentation. Ideal if you have no US filing history.
Under LLC Name
Operate through your US legal entity with asset protection.
Scalable
No property limit. Each property is evaluated independently.
Real Deal Example
Single-family rental in Orlando — DSCR 1.05
Orlando, FL — SFR 3/2, 1,400 sqft in a rental-friendly neighborhood
Property Details
Loan Details
DSCR 1.05 — Qualifies. The property generates 5% more than needed to cover the debt.
Key Requirements
What you need to qualify for a DSCR loan
Down Payment
20-25%
Of property value
Property Type
1-4 units
SFR, duplex, triplex, fourplex
Minimum DSCR
1.0
Ideal 1.25+ for better rates
Credit Score
660+
Or no credit score (foreign nationals)
Typical Terms
Standard conditions for our DSCR loans in Florida
Term
5-30 years
Fixed or adjustable
LTV
Up to 80%
Of property value
Rate
From 7%
Based on DSCR and LTV
Amortization
30 years
With interest-only options
DSCR Resources
Learn more about how DSCR loans work and if they're right for you
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.