A Debt Service Coverage Ratio (DSCR) loan qualifies the borrower based on the subject property’s cash flow. However, it’s important to note that we also offer DSCR programs that do not require a debt service coverage ratio at all.
This option, commonly known as a No Ratio DSCR program, is ideal for situations where rental income cannot be documented or verified. It is especially useful for:
- Newly acquired investment properties that are currently vacant
- Properties being refinanced while vacant
- Situations where lease agreements are not in place
- Properties with inconsistent or difficult-to-verify rental income
With a No Ratio DSCR loan, qualification is not dependent on documented rental income. Instead, the focus shifts to the property value, loan structure, and overall strength of the transaction, providing investors with a flexible solution when traditional DSCR calculations are not possible.
DSCR Loans Up to 85% LTV
We offer DSCR loans up to 85% loan-to-value (LTV) on eligible purchase transactions, allowing investors to preserve capital while maximizing leverage.
For cash-out refinances, DSCR loans are available up to 80% LTV, giving investors the ability to:
- Pull equity from existing properties
- Reinvest into additional acquisitions
- Consolidate portfolios
- Improve liquidity without selling assets
No Source or Seasoning Required for DSCR Funds to Close
One of the biggest advantages of our DSCR programs is flexibility around funds to close. We do not require sourcing or seasoning of DSCR funds used for closing.
- No lengthy paper trails for down payments
- No waiting periods for newly deposited funds
- No unnecessary friction when capital is ready to deploy
This is especially valuable for investors using:
- Recently liquidated assets
- Business proceeds
- Partner capital
- Strategic cash reserves
DSCR Loans for Co-Ops — Yes, It’s Possible
Many lenders exclude co-op properties from DSCR eligibility. We don’t.
We offer DSCR financing for qualifying co-op properties, a critical solution for investors operating in markets where co-ops are common.
We understand:
- Co-op board requirements
- Investor concentration rules
- Building financial review standards
If the deal makes sense and the numbers work, we know how to structure it.
Contact us to discuss your scenario and see how our DSCR programs can support your investment strategy.
