Buy & Hold Investors
Add rental properties to your portfolio without the headache of income verification. Qualify on the property's cash flow alone.
DSCR / Rental Loans — Nationwide
DSCR Loans — Qualify on Rental Income, Not Your W-2
Scale your rental portfolio without income documentation. Our DSCR loans qualify on the property's cash flow — not your tax returns or employment history.
No income verificationNo limit on properties30-year fixedCash-out available
Up to 80% LTV
Loan-to-Value
From 6.0%
Interest Rate
30-Year Fixed
Loan Term
No Income Docs
Qualification
Who DSCR Loans Are For
Built for Serious Rental Investors
Whether you're building your first rental or managing a large portfolio, DSCR loans remove the income verification barriers so you can scale faster.
Portfolio Scalers
No limit on the number of properties. Stack loans across your portfolio and let rental income drive every qualification.
Self-Employed Investors
Business owners and entrepreneurs often can't show traditional income. DSCR loans solve that — no W-2s, no tax return headaches.
Pricing
DSCR Loan Rates
Competitive long-term rates for SFR, condos, and 2–4 unit properties.
| Property Type | Max LTV | Rate | DSCR Min | Term |
|---|---|---|---|---|
| SFR / Condo | 80% LTV | From 6.0% | 1.0x | 30-yr fixed |
| SFR / Condo | 80% LTV | From 6.5% | 1.0x | 30-yr partial I/O |
| 2–4 Units | 80% LTV | From 6.25% | 1.05x | 30-yr fixed |
| 2–4 Units | 80% LTV | From 6.75% | 1.05x | 30-yr partial I/O |
* Rates and terms are indicative and subject to change. Final terms depend on deal specifics and borrower profile.
The Formula
What Is DSCR and How Is It Calculated?
DSCR — Debt Service Coverage Ratio — measures whether a property's income covers its debt payments.
The formula is simple:
DSCR = Net Operating Income (NOI) ÷ Annual Debt Service
A DSCR of 1.0xmeans the rent exactly covers the mortgage payment. A ratio above 1.0x means positive cash flow. Below 1.0x means the rent doesn't cover the loan — and the property typically won't qualify.
Not sure where your property stands?
Use Our Free DSCR CalculatorDSCR < 1.0x
Rent does not cover the payment. Does not qualify.
DSCR = 1.0x
Rent exactly covers the payment. Minimum qualifying threshold.
DSCR > 1.25x
Strong cash flow. May qualify for better rates and terms.
FAQ
DSCR Loan Questions Answered
What is a DSCR loan?
DSCR stands for Debt Service Coverage Ratio. It measures whether a property's rental income is sufficient to cover its debt payments. DSCR loans qualify you based on the property's income, not your personal W-2 or tax returns — making them ideal for investors.
What is the minimum DSCR to qualify?
Our minimum DSCR is 1.0x for SFR and condo properties, and 1.05x for 2–4 unit properties. A DSCR of 1.0x means the property's rent exactly covers the debt payment. Higher ratios may unlock better rates.
Can I use projected rent to qualify?
In some cases, yes. For new acquisitions, we may use a market rent analysis or appraiser's rental assessment when there is no current lease in place. Talk to a loan officer to confirm eligibility for your specific property.
Is there a limit on the number of properties I can finance?
No. Funded Capital places no limit on the number of DSCR loans you can have with us. This makes our program ideal for investors actively growing a rental portfolio.
Do you offer cash-out refinance on DSCR loans?
Yes. We offer cash-out refinance on stabilized rental properties up to 75% LTV. Use the proceeds to fund your next acquisition, complete renovations, or consolidate other debt.
Get Funded Fast
Start Building Your Rental Portfolio
Apply in minutes. Get a term sheet in 2 hours. No income docs required.