DSCR Loans

For a luxury cabin, the hard part is choosing which income number the lender accepts: trailing platform history, a market projection, or long-term rent.

It does not rely on your tax returns or job.

It is not underwritten on W-2s or tax returns. Dallas-Fort Worth investors run it on single-family rentals, small multifamily, and short-term rentals.

A DSCR loan qualifies primarily on property-level rental income covering the payment, subject to lender guidelines. Most purchase files land at 75%-80% LTV.

On a rental purchase, that comparison is the debt service coverage ratio, or DSCR.

A direct lender gives you one set of rules and one point of contact. A broker gives you one application shopped across several lenders.

The lender compares the property’s rent to its full monthly obligation: principal, interest, taxes, insurance, and any HOA dues.