The Quick Read: On a first purchase, the property has no booking history, so the income is usually documented with a market-data projection or an appraiser’s short-term rental analysis, with long-term market rent as the conservative fallback. Programs vary, so the file should be built around the method the lender will actually use. Qualification runs primarily on property-level rental income covering the payment, subject to lender guidelines.
- A first purchase typically leans on a projection or appraiser analysis, not past bookings.
- The appraisal’s rent schedule shows long-term market rent. It does not prove Airbnb income.
- Prior hosting elsewhere proves your experience, not the new property’s income.
- Short-term rental purchases typically top out at 75% LTV, with a 640+ credit score and a 1.00 coverage floor.
- Clearing 1.00 is not the same as positive cash flow.
Key Terms Defined
Trailing twelve months (TTM): Twelve months of actual booking income for one property, used when a property already operates.
Projection report: A market-data estimate of what a property could earn, built from comparable short-term rentals.
Form 1007 / Form 1025: The appraiser’s rent schedules. The 1007 covers one-unit properties and the 1025 covers two to four units. Both estimate long-term market rent.
Gross versus qualifying income: Gross is what guests pay. Qualifying income is what the lender counts after any adjustment.
PITIA: Principal, interest, taxes, insurance, and any HOA dues. It is the payment the income is divided by.
Coverage (DSCR): Qualifying monthly income divided by monthly PITIA.
Why a First Purchase Is a Different Problem
A first purchase has no booking history because you do not own the property yet. That single fact shapes the whole file. Lenders cannot ask for twelve months of platform payouts on a house that has never hosted a guest under your name.
Across the wholesale network Lendmire places files with, short-term rental purchases generally run to 75% LTV. A 640+ score is typical, and the coverage floor on purchases is 1.00. Programs also tend to expect about twelve months of landlord or host experience. That experience requirement is separate from the subject property’s history, and mixing the two up is the most common early mistake. All of this is subject to lender guidelines and individual underwriting.
Refinances work differently. Projections are generally a purchase-only path, while refinances typically want actual history. Lendmire’s piece How DSCR Loan Rental Income Rules Work for a Self-Employed Airbnb Host covers that split in more detail.
What Does the Appraisal Actually Prove?
It proves long-term market rent, not Airbnb income. McKissock, an appraiser-education publisher, explains that Form 1007 estimates monthly market rent for one-unit and condo investment properties. It also notes that the lender makes the final decision on income from all sources, including short-term rentals.
The appraiser values the real estate and documents market rent. The appraiser does not count your Airbnb income, and cannot simply multiply a nightly rate by thirty. Plenty of buyers expect the appraisal to confirm their projections. It does not.
The 1007 matters for another reason. It is the conservative fallback, and it is often well below a property’s true short-term potential. A house that clears coverage on short-term income can fall short on 1007 rent. In one illustration, a property landed near 0.90x on 1007 rent, near 1.25x on twelve months of history, and near 1.10x on a reduced projection. Treat those figures as illustrative, not survey data.
The Three Ways to Prove Short-Term Rental Income
Programs differ on which methods they accept, so ask first. Most files come down to these three.
| Method | Who produces it | Best fit | Main risk |
|---|---|---|---|
| Trailing 12-month history | Platform or manager | Operating property, refinance | Needs real history |
| Projection or appraiser STR analysis | Data vendor or appraiser | First purchase | Only as good as the comps |
| 1007 long-term rent | Appraiser | Fallback | Often understates STR income |
Lenders also commonly trim a projection. Expect the number the lender uses to be lower than the number on the data report.
Which path is yours? A quick decision guide:
| Your situation | Likely path |
|---|---|
| No hosting history anywhere | Projection or appraiser STR analysis |
| Hosted elsewhere, buying new | Projection, plus exports as experience proof |
| Buying an operating Airbnb | Seller’s twelve-month history |
| Converting a long-term rental | Projection or 1007 fallback |
How Underwriting Treats the Income, Step by Step
Across the programs Lendmire sees, the sequence is consistent even when the details are not.
1. Identify the method. Ask which of these the program accepts: appraiser analysis, platform or manager history, bank deposits, a market-data projection, or 1007 rent.
2. Order the data report and appraisal. The projection is built from comparable short-term rentals matched by location, bedrooms, and similar features. The appraiser returns a 1007 or a 1025.
3. Apply the adjustment. The lender may trim the projection or apply an expense factor.
4. Divide by PITIA. The resulting ratio is the coverage number. Lendmire’s own explainer How to Choose DSCR or Conventional for Your First Airbnb stresses that the ratio ignores repairs, vacancy, management, utilities, and capex.
5. Review the property. Eligibility, leverage, and reserves are reviewed alongside coverage.
A common situation shows why step one matters. A borrower may find the lender wants either twelve months of actual rent or the appraiser’s fair-market short-term value. The lender may rely on the 1007, the data report, or both. The borrower cannot know whether the file clears until the appraisal comes back.
That uncertainty is the reason to ask the lender which method it uses before you make an offer.
The Document Checklist
Build the package in groups.
Income evidence
- A market-data projection report for the subject property, with the comparable rentals it used.
- The appraisal with its rent schedule, once ordered.
- A one-page assumptions summary: which comps you chose, and how the property’s condition and amenities compare to them.
Property evidence
- The purchase contract and property details.
- Entity papers if you are buying in an LLC, subject to lender program eligibility.
- Insurance quotes and any HOA documents.
Borrower evidence
- Proof of hosting or landlord experience, if the program asks for it.
- Credit and asset documentation, including reserves.
- Platform exports from any other properties you host.
Reserves vary by lender, leverage, loan size, and transaction type. They are commonly around six months of PITIA, with a step up on larger loans.
If You Already Host Somewhere Else
Your existing statements show skill, not the new property’s income. They prove that you can run a short-term rental, which supports the experience requirement. They do not substitute for a projection on the new house.
To pull the records, Airbnb’s Help Center says the earnings dashboard offers a gross-earnings CSV report through the Earnings Summary. Airbnb’s newsroom guide shows the Transaction History, Gross Earnings tab with a Download CSV option. Menu paths change over time, so pull the report from the current Earnings dashboard. A native export beats a screenshot or a retyped spreadsheet every time.
Building a Projection That Holds Up
A lender trims an optimistic projection. A defensible one survives that trim. Here is the method.
1. Pull the data report for the exact address, not a zip code average.
2. Choose comparables honestly: similar bedrooms, similar location, similar amenities.
3. Adjust down where your property is weaker on condition, finishes, or features.
4. Show a full year month by month, not peak season alone.
5. Write a one-page assumptions note that explains each choice.
Overstated projections are the most visible reason these files get sent back. A conservative number you can defend serves you better than an aggressive one the lender discounts anyway.
Where the General Rule Breaks
- Thin comps. Small or rural markets give the appraiser few short-term comparables, and a projection is only as good as its comps.
- Purchase versus refinance. A projection that works on a purchase generally will not carry a refinance, which wants actual history. Refinance leverage typically runs lower than on a purchase.
- Local limits. Short-term rental rules can vary by city, county, HOA, and property type, so investors should confirm local rules before relying on projected rental income.
- Ineligible property types. Manufactured homes, log homes, and barndominiums are not offered through these programs.
The Investor Decision in Practice
The income method can decide whether a first purchase qualifies at all. The same house can pass on projected income and fail on 1007 rent. So the practical order is: order the data report, ask which method the lender uses, then make the offer.
Keep your own conservative pro forma, too. Coverage compares rent to PITIA only, so clearing 1.00 is not positive cash flow. Repairs, vacancy, management, and utilities all sit outside the calculation. 1.00 is where select programs start, and stronger ratios can open better pricing and leverage. A separate select-lender path takes coverage below 1.00 with leverage and terms adjusted.
A DSCR file does not count against your personal debt-to-income ratio. That is a real difference from a conventional loan. Tax treatment varies; consult a qualified professional.
The complete DSCR loans guide covers the program basics.
If you are buying or refinancing a rental property and want to see how the numbers work, Lendmire can help you compare DSCR loan options based on the property income, credit profile, leverage, and investor goals. It arranges these loans as a broker through select lenders in its wholesale network, across 41 markets, including Washington, D.C.
Frequently Asked Questions
Can I get a short-term rental loan with no hosting history?
Often yes, on a purchase. A projection or appraiser’s short-term analysis usually fills the gap. Many programs still want about twelve months of landlord or host experience, which is separate from the property’s booking history. Approval is subject to lender guidelines and individual underwriting.
Will the appraiser confirm my Airbnb income?
No. The appraiser documents long-term market rent and values the real estate. The lender decides how income counts, and may use the 1007, the data report, or both.
Can I use screenshots of my earnings?
Screenshots are weak evidence. Native platform exports are primary records, and they are far easier for a reviewer to rely on. Pull the CSV from the current Earnings dashboard.
Does my other Airbnb count as income for the new property?
Not directly. It supports your experience, but the new property’s income is documented through a projection or appraiser analysis. Refinances are different, since they typically want that property’s actual history.
Can I fall back on long-term rent?
Usually, yes. The 1007 rent is the conservative fallback, though it often sits below true short-term income. Programs may tighten terms when a file relies on it.
About Lendmire
A non-QM mortgage broker (NMLS# 2371349), Lendmire arranges DSCR financing for real estate investors in 41 markets — 40 states plus Washington, D.C. Because deals are underwritten primarily on property cash flow rather than personal income documentation, the structure suits self-employed buyers and entity-owned portfolios. Lendmire places loans through wholesale investor lenders; it is not a direct lender. Scotsman Guide named Lendmire a Top Mortgage Workplace in both 2025 and 2026.
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References
1. McKissock – Form 1007 and Short-Term Rental Appraisals
2. Airbnb Help Center – Earnings and tax documents
This article is part of Lendmire’s short-term rental loan program — full qualification details, guidelines, and scenarios live on the program page.
Related reading: How a Luxury Rental DSCR Loan Works in Nebraska · How a Condotel Lender Sizes Airbnb Income for DSCR · How to Get a Cash-Out Refinance on a Former Airbnb With DSCR
Brandon Miller
Founder & CEO, Mortgage Loan Originator, Lendmire LLC
- Mortgage Loan Originator · NMLS# 1129696 · Verify on NMLS Consumer Access
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Disclosure information. Lendmire is a state-licensed mortgage brokerage under NMLS# 2371349. Lendmire is not a depository institution, direct lender, or financial advisor — all loans referenced are placed through wholesale lender partners and are subject to each lender's underwriting standards. This article is provided for general informational purposes and is not a commitment to lend, nor does it constitute financial, legal, or tax advice. Loan programs, terms, rates, and qualification standards change without notice and depend on borrower profile, property type, and the state in which the subject property is located. Equal Housing Opportunity provider. NMLS Consumer Access: nmlsconsumeraccess.org.