DSCR (Debt Service Coverage Ratio) loans have revolutionized how real estate investors qualify for financing. Instead of relying on personal income documentation, these loans focus on the property's ability to generate income.
What is DSCR?
The Debt Service Coverage Ratio is calculated by dividing the property's net operating income by its total debt service. A DSCR of 1.0 means the property generates exactly enough income to cover its debt payments.
Benefits of DSCR Loans
- No personal income verification required
- DTI not calculated
- Ideal for self-employed investors
- Scale your portfolio faster
Interested in learning more? Explore our DSCR loan options.