Debt-Service Coverage Ratio (DSCR) Mortgages have emerged as a vital solution in the world of non-qualified mortgages (Non-QM). These mortgages are engineered to serve a specific segment of borrowers who don’t fit the conventional lending criteria. DSCR Mortgages, or Debt-Service Coverage Ratio Mortgages, are designed with a distinct focus on income-producing properties, such as rental properties and commercial real estate. DSCR Mortgages primarily evaluate the property’s income potential to determine eligibility. The core criterion is whether the income generated by the property can cover the mortgage payments.

• LTVs Up to 85% Purchase and Refi Cash-Out 75% LTV
• Minimum Fico 599, LTV is 80% for that score
• Min Loan Amount $100,000, Max Loan Amount $5,000,000
• Non-Owner Occupied – Investment properties only
• 1-4 Unit Properties (Including Townhomes); 5-8 Units
• Coops and Condos program available
• Short-Term Rentals OK
• No Business Entity Required
• Purchases may be Vacant (Rent Ready Condition)
• Rental Loans Based On DSCR (Property Income / PITIA)
• Min DSCR ratios from .75 to 1.00 (pending LTV, 1.0 to 1.10+)
• No ratio is available at 75% LTV
• 30-Year Term: Fixed Rates and Adjustable Rates Available
• Interest Only Option Available (30 Year Term, 10 Years I/O)
• 3 & 5 Year Prepays Available

DSCR mortgages are a real estate investor’s best friend. How else can a self-employed borrower obtain financing on a property where personal income tax returns don’t qualify traditionally? These rental loans are the ideal mortgage program for individuals who are building their real estate portfolios.

As the go-to mortgage company for non-qm programs, we offer several DSCR mortgage programs to fit any scenario. Contact our office or fill out a Fast Quote form and we’ll get back to you within an hour.