The main benefit of a DSCR loan is that it is based on borrower credit and property cash flow, not the borrower’s personal income. DSCR loans are considered to be “low-doc” loans in comparison to conventional loans which require more documentation in order to proceed with the loan.
A conventional loan is often difficult for Real Estate Investors to achieve as they require specific guidelines in order to meet the criteria of Fannie Mae and Freddie Mac. However, a conventional loan is appealing to those who qualify as they may be able to receive a lower interest rate.
Yes, you must have a minimum FICO score of 640. Your interest rate will be determined by your credit score.
The maximum LTV for purchases is 80%, Cash-Out is 75%. Your LTV will vary based upon your creditworthiness, property location, and the property’s DSCR ratio.
Yes, up to 8 units.
Yes, there is a 6 months seasoning period for cash-out. There is no seasoning requirement for rate-and-term refinance.
We offer loans on a wholesale basis from lenders, and therefore can offer the best rates available in the market, making the total loan cost lower for you.