Current DSCR HELOC guidelines, updated from one source.
Treat these as program parameters, not an offer: the maximum combined loan-to-value, the minimum credit score, the line sizes, and the draw and repayment periods on a rental line qualified by its rent, all drawn from one guideline source this page keeps current.
Of the rental’s value, first mortgage included
Total liens on the rental, the first mortgage plus the new line, may reach 70% of value behind a first mortgage you keep; the ladder below shows the first-lien tiers on a paid-off rental, which run to 75% at the top tier.
Credit score for a second-lien line
Scores from 720 are eligible on a second-lien line and from 700 on a first-lien line; the ceiling is read by credit tier, lien position, and line size on the ladder, and the owner’s debt-to-income ratio is never calculated on this program.
Automated valuation on lines to $400,000
The program writes second-lien lines from $50,000 to $500,000, and first-lien lines to $1,000,000; up to $400,000 the valuation is an automated model plus an inspection, and the largest lines, above that threshold, require a full interior appraisal.
Interest-only, then 25 years of repayment
A 5-year interest-only draw period and a 25-year repayment period make up the 30-year line. The rent must cover the qualifying payment at 1.10 or better, measured on the whole line at a stressed rate.
| Credit profile | Max combined LTV | Max line | Lien position · valuation |
|---|---|---|---|
| 740+ | 70% | $500,000 | Second lien behind the first mortgage · Automated valuation + inspection to $400,000, full interior appraisal above |
| 720+ | 70% | $500,000 | Second lien behind the first mortgage · Automated valuation + inspection to $400,000, full interior appraisal above |
| 740+ | 75% | $500,000 | First lien on a paid-off rental · Automated valuation + inspection to $400,000, full interior appraisal above |
| 720+ | 70% | $500,000 | First lien on a paid-off rental · Automated valuation + inspection to $400,000, full interior appraisal above |
| 720+ | 65% | $750,000 | First lien on a paid-off rental · Automated valuation + inspection to $400,000, full interior appraisal above |
| 720+ | 65% | $1,000,000 | First lien on a paid-off rental · Automated valuation + inspection to $400,000, full interior appraisal above |
| 700+ | 70% | $500,000 | First lien on a paid-off rental · Automated valuation + inspection to $400,000, full interior appraisal above |
The 70% combined loan-to-value ceiling behind a first mortgage requires a 720 credit profile. A first-lien line on a paid-off rental starts at a 700 profile, reaches 75% loan-to-value at the top tier, and runs to $1,000,000 at 65% on lines above $500,000. The rent must cover the qualifying payment at 1.10 or better.
Current DSCR HELOC snapshot · updated October 29, 2026 · seven tier rows across both lien positions · variable rate through the draw and repayment periods · at least 80% of the line (and $50,000) drawn at closing · later draws from $5,000 · first or second lien position · vesting in the owner’s LLC allowed · no reserves required · 6 months of ownership before the line.
This page describes a wholesale program as its guidelines stand, read from one centralized source and refreshed as it changes; it does not offer credit, quote terms, or promise approval. The line a given rental supports depends on the valuation, the lease and the rent, the credit tier, the lien position, the entity, the property type, and full underwriting. No rate, index, payment, or fee appears here. Lendmire, LLC (NMLS #2371349) is a mortgage broker, not a lender, licensed in sixteen states for consumer mortgages. Equal Housing Opportunity.
What a DSCR HELOC is — and how the rent sizes the line.
The mechanics are the same on every Roanoke file: the lender measures the rental’s value, subtracts the balance already secured by it, applies the ceiling for the credit tier and lien position, caps the result at the program maximum, and checks that the rent covers the qualifying payment. Four cards below walk through the parts.
For the program overview, see Lendmire’s DSCR HELOC program, or the statewide guide at DSCR HELOC in Virginia.
A line on the rental, behind the mortgage you keep
Unlike a closed-end loan, the line stays open through the draw period: fund a Roanoke rehab this year and a down payment next year, pay interest only on the drawn balance, and repay over the years after the draw period ends. The first mortgage, and its rate, never move.
The rent qualifies the line, not your tax returns
The lender does not calculate your debt-to-income ratio. It reads the rental’s gross rent, the lesser of the lease and the appraiser’s market-rent schedule, and divides it by the qualifying payment on the whole line at a stressed rate; the quotient must reach the program’s coverage minimum. A lease in place is required.
Your credit tier sets the ceiling and the cap
The score the lender pulls decides the tier, and the tier decides the ceiling and the cap. On a second-lien line the top tiers share one ceiling and one cap; on a first-lien line the largest lines carry a reduced ceiling. Nothing in the file moves the tier except the report itself.
Valuation, the lease, the LLC, and closing
Title can stay in the LLC that holds the Roanoke rental, which is the point for many landlords: no deed back to a personal name before closing, no deed back into the entity after. A title holder who is not a borrower signs an acknowledgment, and the borrowers on the line need not be the borrowers on the first mortgage.
Every input is yours to change in the calculator below: the Roanoke rental’s value, the balance already secured by it, the credit tier, and the lien position. The ceiling and the cap come from the program tables for that tier and position, and the result is the room under the ceiling, capped at the program maximum.
Roanoke’s rental equity in figures — and how a line fits it.
Roanoke’s rental stock sets the context for a DSCR HELOC: the median value says how much equity a typical property carries, and the share of owners says how settled the market is. The figures below come from the U.S. Census Bureau and are the market’s, not the program’s.
Read the figures as backdrop. A high median value with a large share of owners usually means deep equity and larger lines; a market of recent purchases means thinner equity and smaller lines at the same tier. Neither changes the ceiling or the cap; they change how much of the ceiling a given rental can reach.
Data sources: U.S. Census Bureau — ACS 5-Year (2024) housing and population estimates, including tenure, home values, gross rents, and household income.
Distinct Roanoke rental neighborhoods, distinct equity pictures.
Neighborhood by neighborhood, Roanoke’s rentals present different files: some with deep equity and modest rents, some with high rents and thin equity, some with valuation questions of their own. The cards below walk through them.
Newer infill and recent purchases
A Roanoke rental bought in the last year or two is read on two clocks and narrow room: the purchase must season, the refinance if any must season, and the ceiling minus a high balance may leave little or nothing until values move. On a one-unit rental at Roanoke’s median home value, the second-lien ceiling puts total liens near $133,350 — the line is what remains after the first mortgage balance, and the rent must cover the qualifying payment; a paid-off rental on a first-lien line sits above the second-lien ceiling.
High-value rentals
High-value Roanoke rentals present a cap question: how much of the equity can one line reach? The answer is the maximum line for the tier and lien position, and a full interior appraisal sets the value the ceiling is measured against. Roughly 22,852 Roanoke households own their homes on the latest Census estimate — 52% of all households, the pool a rental equity line is written for.
Established close-in rentals
In the established districts the line is rarely limited by equity; it is limited by the cap and by the rent. A Roanoke owner with a paid-off rental here is a first-lien file, and the ladder’s first-lien rows apply: the higher ceiling at the top tier, the standard one below it, the reduced one on the largest lines. Roanoke is home to about 98K people.
Entity-held portfolios
Portfolio owners in Roanoke hold rentals in LLCs for liability, and the program meets them there: the line is written in the entity, the members sign as guarantors, and the deed never moves. The exposure limit on loans and dollars per borrower is the figure to check first. Median household income in Roanoke sits near $55,378 on the latest Census estimate.
Two-to-four-unit buildings
A Roanoke fourplex brings several leases to the coverage test, so the equity, the tier, and the cap are often the binding limits instead. The leases for the occupied units document the rent, and the valuation uses the multi-unit form on the larger lines. About 48% of Roanoke’s households rent — roughly 20,723 renter households on the latest Census estimate.
Condominium rentals
A Roanoke condominium rental carries a DSCR HELOC as readily as a house; the questions are the project’s. Warrantability decides which ceiling applies, the association’s finances are reviewed, and a condotel or an age-restricted project is outside the program. The median owner-occupied home value in Roanoke runs near $190,500 on the latest Census estimate.
Submarket descriptions are general patterns, not property-level data. The ceiling, the cap, and the rent test apply the same way in every Roanoke neighborhood; what changes from one to another is the equity position, the rent, and the valuation path a given property is likely to present.
Four ways Roanoke landlords put a rental equity line to work.
Why a line rather than a refinance? Because most Roanoke investors need money in pieces and want to keep the mortgage they have. The four uses below are the ones the program sees most, and each one works with a closing draw and a line that stays open.
A standing reserve for the portfolio
Some Roanoke investors open a line for what has not happened yet: the furnace that fails in January, the vacancy that runs long, the assessment the association votes through. The closing draw is set by the program; the rest waits.
Finish a value-add before the permanent loan
Where a hard-money loan would have carried the work, a line on a seasoned rental can carry it instead, drawn as the work bills and repaid when the improved property refinances. The first mortgage on the seasoned rental is untouched.
Consolidate business debt at the property level
Whether consolidation is wise depends on the balances, the terms, and the discipline to leave the retired accounts retired; whether it is possible depends on equity, tier, and rent. The line decides the second question; a Roanoke owner decides the first.
Bridge a sale, a tax bill, or a buyout
The bridge use is temporary by design: draw against the rental, repay the draw when the sale or the refund lands, and keep the line open for the next gap. The first mortgage on the Roanoke property never moves.
Estimate your Roanoke rental’s available credit line before requesting a quote.
The calculator below sizes a DSCR HELOC on a Roanoke rental the way the program does: the value times the ceiling for your credit tier and lien position, minus the balance already on the property, capped at the maximum line. It shows the valuation path and the closing draw, and it names the rent test the lender applies without pretending to run it, because the qualifying payment is set in underwriting.
Roanoke rental available-equity calculator
The arithmetic the program uses, with your Roanoke figures: value times ceiling minus balance, capped at the maximum line for the tier.
Illustrative starting assumptions: a $190,000 rental value near Roanoke’s median owner-occupied home value and a $85,000 modeled remaining first-mortgage balance (U.S. Census Bureau). Combined loan-to-value ceilings and line caps follow the current program tables for the lien position and credit tier selected and update from Lendmire’s centralized guideline source on the live page. The rent test is the lender’s: the gross rent must cover the qualifying payment on the whole line at the program’s coverage minimum. Every field is editable.
Illustrative estimate only — not a credit decision, approval, quote, or commitment to lend. The actual line amount, combined loan-to-value, and eligibility depend on the automated valuation or appraisal, the lease and the rent, the credit profile, the vesting, documentation, and full underwriting by the selected wholesale lender; the rate, the payment, and any costs are provided in writing by a licensed loan officer. Minimum score, line-size, coverage, and draw requirements follow the current program snapshot shown on this page. Licensed in sixteen states for consumer mortgages.
Same rental equity, four very different ways to reach it.
Before choosing, compare: the DSCR HELOC against the ordinary investment-property HELOC, against a DSCR cash-out refinance, and against a bank statement HELOC. Each card below says who it fits in Roanoke and what it costs the owner in paperwork and in the first mortgage.
A rent-qualified line, an income-qualified line, a cash-out refinance, or a bank statement line.
Qualified on the rental’s rent, vested personally or in an LLC, and written behind the first mortgage you keep or first on a paid-off rental. The owner’s tax returns and debt-to-income ratio stay out of the file. The trade: a lower ceiling and a higher credit floor than the income-qualified line, and a rent that must cover the qualifying payment.
The ordinary rental HELOC reads the owner, not the property: W-2s or tax returns, a ratio, personal vesting. Where those are strong it is the larger line; where they are not, the rent-qualified line exists for exactly that file. For the income-qualified route, see Lendmire’s investment property HELOC.
For the Roanoke owner whose first-mortgage rate is no longer worth keeping, or who needs more of the equity than a second-lien line can reach. The refinance resets the whole loan; the line adds to it. Compare the blended cost of the two before choosing. For the refinance route, see the investment property cash-out refinance.
For the Roanoke self-employed owner whose business deposits tell a better story than the returns, on a property held personally. Where the rental’s own rent covers the line, the DSCR HELOC asks for less; where it does not, the bank statement line reads the owner instead. For the deposit-qualified route, see the bank statement HELOC.
What to prepare for a Roanoke scenario review.
Prepare the rental’s paperwork, not yours. The list below is what a Roanoke landlord typically gathers; the selected lender may ask for more depending on the entity, the property type, and the lien position.
This is a general preparation guide, not a universal checklist. The selected lender may request additional information based on the lease, the entity, the property, the lien position, and the credit profile. Nothing here is legal or tax advice.
Local details that can change the line.
Every file has a detail that decides it. For Roanoke rental lines these are the usual ones; confirm each against the snapshot and with a licensed loan officer before planning.
Use these checks to keep the Roanoke file clean and fundable.
Most surprises on a rental line are foreseeable: the tier, the valuation path, the lease, the entity, the seasoning window, and the program’s property list. Run the checks below before the scenario review, and none of them meets the Roanoke file as a surprise.
- Confirm the vesting: Whether every member of the entity will sign as a guarantor on the line.
- Confirm the dates: The settlement date the ownership clock started on.
- Confirm the exposure: Whether a planned portfolio of lines fits inside the exposure limit.
Title in your name or your LLC
A trust on title is a different question from an entity on title: a land trust is on the program’s ineligible list, and a revocable trust is read by the lender case by case. A Roanoke rental in an LLC is written in the LLC’s name; a rental in a land trust is not written at all.
The seasoning clock on purchases and refinances
A rental bought or refinanced inside the program’s seasoning window is not eligible yet, measured note date to note date, and ownership seasons on its own clock from the purchase settlement. A Roanoke investor who closed this spring plans the line for after the window.
How many financed properties the program allows
Exposure is counted per borrower across the program, not per property. The Roanoke landlord with one rental is nowhere near the limit; the one with a portfolio of lines may be, and the scenario review reads the list first.
The rent must cover the qualifying payment
The rent the lender uses is the lesser of the lease and the appraiser’s market-rent schedule, and a lease above market counts only with three months of receipts. A Roanoke owner who raised the rent last month and cannot show receipts is read at the market figure.
Second lien behind the mortgage, or first lien on a paid-off rental
The line is never closed together with a purchase or a refinance of the first mortgage; it is a standalone lien, opened on a seasoned property. A Roanoke investor buying a rental and planning a line on it waits for the seasoning window.
From a Roanoke rental prequalification to a funded line.
From the first call to the funded line the file follows one path. In Roanoke the differences from an income-qualified line are what is missing: no tax returns, no debt ratio, no deed out of the LLC. What remains is the property’s file and the credit report.
Scenario review
Before any application, the scenario is read against the program: lien position, tier, valuation path, seasoning, the property list, and the entity. A Roanoke owner leaves the review knowing the line the tables support and the gates the file must clear.
Prequalification
Prequalification is where the file becomes real: the report replaces the estimate, the lease replaces the owner’s rent figure, and the entity’s papers are read. What comes out is a line amount, a lien position, and a short list of items to verify.
Verification and valuation
Verification proves what prequalification assumed. Value, title, insurance, entity standing, the first-mortgage balance, and the rent are each confirmed from their own documents, and the line is finalized on the verified figures before closing documents are drawn.
Closing and funding
At closing the line is recorded against the rental, in the entity’s name when an LLC holds title, and the minimum draw funds. The first mortgage is untouched, the draw period begins, and later draws follow the program’s minimum.
A brokerage that matches the line to the rental.
Three reasons Roanoke landlords bring a rental line to a broker rather than a bank: the program is placed through select wholesale lenders, the file is read against more than one route, and the entity on title is not a problem to be solved before the conversation starts.
Four routes, the right one quoted
The rent-qualified line is the answer to a specific problem: an entity on title, returns that understate, a ratio that is full. Lendmire reads whether that is the problem on a Roanoke file before recommending the line that solves it.
The entity stays on title
Landlords who built a portfolio inside entities for liability reasons should not have to unwind it for a line. The DSCR HELOC is placed through a wholesale program that writes the entity, and Lendmire’s Roanoke review starts with the deed as it is.
Licensed, in writing, the lender never named
Lendmire arranges a rental line under its consumer licensing even on an investment property: the disclosures and the written terms that attach to a licensed home equity line travel with the file, in every state the program is written.
Trusted by landlords & investors alike.
Roanoke DSCR HELOC FAQs
The questions Roanoke landlords ask before a rent-qualified line, answered from the program as it stands; figures live in the snapshot above.
What is a DSCR HELOC?
Think of a rental HELOC with the income file removed. The lease and the appraiser’s rent schedule qualify the line; the credit report sets the tier; the valuation sets the value; and the entity on title stays on title. Everything else about the line, the draw period, the repayment period, the lien position, works the way a home equity line does.
Can the rental stay in my LLC?
It can, and that is the reason many Roanoke landlords with entity-held rentals choose this line. The LLC holds title before, during, and after; the members sign as guarantors; the entity papers are read at the scenario review.
How is the rent test calculated?
The lender takes the gross monthly rent, the lesser of the lease and the appraiser’s market-rent schedule, and divides it by the qualifying payment: a fully amortizing payment on the entire credit limit at a stressed rate above the start rate. The quotient must reach the program’s coverage minimum, shown in the snapshot. A lease in place is required.
Is an appraisal required?
Yes, in one of two forms: an automated valuation with a property inspection report on lines to the threshold, a full interior appraisal above it. The lender never waives the valuation, and the line is sized on the value it produces, not on the owner’s estimate.
How do the draw period and repayment work?
Two periods on one line: draw years, when the line is open and payments are interest-only, and repayment years, when the balance amortizes. The snapshot carries both. Plan for the closing draw, which is most of the line, and for the payment change at the end of the draw period.
How much can I borrow against a rental?
As much as the equity under the ceiling and the rent over the qualifying payment allow, inside the program’s line range. The ladder on this page shows the ceiling and the cap at each tier and lien position; the lender settles the rent test on the lesser of the appraiser’s market rent and the lease.
I just bought the rental. Can I open a line now?
Not yet. A rental bought or refinanced inside the program’s seasoning window is not eligible, measured note date to note date, and ownership has to season from the purchase settlement before the line closes. The months are in the program; plan the line for after both windows.
Can I open a line if the rental was recently listed for sale?
Only after the window has passed. The program does not write a line on a property listed within the months before the application; a Roanoke landlord who listed and withdrew waits for the window, then applies.
What credit history does the program expect?
A recent year without a thirty-day mortgage late and the program’s seasoning on any bankruptcy or foreclosure-family event; tradeline depth is waived at every tier the program offers. None of it involves the owner’s income; all of it is on the report.
Do I need reserves or cash to close?
No. The program requires no reserves and no cash to close; the closing draw funds the line and the costs are handled in the closing, which the loan officer sets out in writing. The file is the property, the credit report, the lease, and the entity.
Size the line on the rent, not the tax returns.
Start with the figures: the rental’s value, the mortgage on it, your credit tier, the lease. The review takes minutes, states program parameters rather than offers, and names anything in the file that needs a check.
This guide covers Roanoke — for the statewide ceilings, tiers, and state rules, see DSCR HELOC in Virginia, part of Lendmire’s DSCR HELOC program.
Nearby markets in Virginia: Blacksburg · Christiansburg · Radford · Lynchburg · Wintergreen · Stuarts Draft · Staunton · Charlottesville
Other loan programs in Roanoke: DSCR Loans in Roanoke, VA · Super Jumbo DSCR Loans in Roanoke, VA · Short-Term Rental Loans in Roanoke, VA · Investment Property Cash-Out Refinance in Roanoke, VA · Hard Money Loans in Roanoke, VA · Bank Statement Loans in Roanoke, VA · Super Jumbo Bank Statement Loans in Roanoke, VA · Bank Statement HELOC in Roanoke, VA · Investment Property HELOC in Roanoke, VA