For Real Estate Investors

DSCR Loans

Qualify for investment properties based on the rental income of the property, not your personal tax returns.

Robin Thomas, Mortgage Broker & Advisor

Robin Thomas

Mortgage Broker & Advisor

NMLS #2453986

"I specialize in custom-tailoring this loan program to fit your long-term wealth goals."

(845) 499-9374

Robin.Thomas@edgehomefinance.com

Program Overview

Understanding the DSCR Loan Program

A Debt Service Coverage Ratio (DSCR) loan is a specialized mortgage program designed for real estate investors. Instead of evaluating your personal income, tax returns, or employment history, lenders qualify the loan based on whether the property's rental income covers its monthly mortgage payments.

This is the ultimate tool for scaling your rental portfolio in Houston, Katy, Sugar Land, or Pearland without the restriction of traditional personal income guidelines.

Key Benefits of this Program

No Tax Returns Required

Qualify without submitting tax returns, W-2s, paystubs, or personal employment verification.

Simplified Qualification

If the property's gross rental income exceeds the monthly mortgage payment, the file qualifies.

Scale Your Portfolio

Since personal debt-to-income (DTI) is not calculated, you can secure multiple DSCR loans simultaneously.

LLC Vesting Allowed

Close the loan directly under your LLC or corporate entity to protect your personal assets.

General Guidelines & Qualifications

Typical benchmarks used across our 160+ lender network

Every file is unique, but here are the typical benchmarks used across our 160+ Lender Network:

Minimum credit score of 620-640
20% to 25% down payment typically required
Property DSCR ratio of 1.0 or higher preferred
Appraisal must include a Rent Schedule (Form 1007)
Minimum 3-6 months of reserves in bank accounts
Designed strictly for non-owner occupied properties
Common Questions

Frequently Asked Questions

Q1

How is the DSCR calculated?

DSCR is calculated by dividing the gross monthly rental income of the property by the monthly PITIA (Principal, Interest, Taxes, Insurance, and Association dues). For example, if a property rents for $2,500 and the PITIA is $2,000, the DSCR is 1.25.

Q2

Can I qualify if the DSCR is under 1.0?

Yes! Some specialty lenders in our 160+ network offer 'no-ratio' DSCR programs, which allow qualification even if the rental income is slightly lower than the mortgage payment, though it may require a higher down payment or credit score.

Q3

Is a DSCR loan only for single-family homes?

No, DSCR loans can be used for single-family homes, condos, townhomes, and multi-family properties (2-4 units, and even 5+ unit commercial properties in some cases).

Ready When You Are

Let's see what DSCR financing looks like for your portfolio.

Reach out for a free, no-pressure consultation and get a clear picture of your options.