Core loan
DSCR loans for landlords who qualify on the property, not the paystub
A debt service coverage ratio loan sizes the mortgage to what the rental earns. Instead of tax returns and debt-to-income math, the question is simple: does the rent carry the payment? We arrange these loans for investors and shop them across wholesale lenders.
Who this fits
- Self-employed investors whose tax returns understate their real income
- Landlords with several financed properties who have hit conventional limits
- Owners holding rentals in an LLC or other business entity
- Investors refinancing a short-term bridge or hard money note into long-term debt
- Anyone who would rather be judged on the asset than on a personal income file
What DSCR actually measures
DSCR divides the property’s monthly rent by its full monthly housing payment: principal, interest, property taxes, insurance and any association dues (often abbreviated PITIA). A result above 1.00 means the rent covers the payment; below 1.00 means it falls short.
Because the ratio depends on the new payment, the loan amount, term and structure you choose all change the result. That is why a refinance conversation starts with numbers, not with a product name. Our calculator lets you test this yourself before you talk to anyone.
What wholesale lenders typically review
- Rent: the current lease, or market rent from the appraiser’s rent schedule, under the lender’s rules for which figure applies
- Credit history of the borrower or guarantor
- Loan-to-value, based on a new appraisal
- Cash reserves held after closing
- Property type and condition, and whether the property is in a business entity
- Title history and, on a refinance, how long you have owned the property
Where a broker helps
DSCR programs are not standardized. Two wholesale lenders can read the same lease differently, treat a vacant unit differently, or offer very different prepayment structures. As a mortgage broker we do not lend our own money; our job is to put your file in front of the programs most likely to fit and explain the trade-offs in plain language.
We are a mortgage broker. We arrange and shop financing from wholesale lenders; we do not lend our own money. Business-purpose loans on non-owner-occupied investment property only.
How it works
Four steps, no surprises
Share the property
Current loan, rent, taxes, insurance and the goal: lower payment, longer term, cash out or exit a bridge.
We size the ratio
We estimate DSCR the way wholesale lenders do and flag anything that could move it, like insurance or HOA.
We shop programs
We compare available wholesale DSCR programs for leverage, prepayment structure, term and fees.
Underwrite and close
Appraisal, title and lender underwriting. You review the final terms before anything is signed.
Questions
Common questions
Do I need to show personal income for a DSCR loan?
Generally no. DSCR programs qualify primarily on the property’s rent versus its payment. Lenders still review credit, assets for reserves and the property itself.
Can I use a DSCR loan on a home I live in?
No. We only arrange business-purpose loans on non-owner-occupied investment property. If you or your family will live in the property, it is not a fit.
Can the loan close in my LLC?
Many wholesale DSCR programs allow closing in an LLC or similar entity, usually with a personal guarantee. We confirm entity requirements during the shopping stage.
Next step
Bring us the loan you have. We will show you the loans you could have.
Share your current balance, rent and maturity date. A Loan Daddy loan specialist will compare what wholesale lenders can offer for a business-purpose refinance and walk you through the trade-offs, without pressure.