Just got denied my first loan

[Ezra Shami]

Hi all, so I recently applied to get pre approved and didn't qualify due to my rent being high (thanks to new york prices) and my car lease being crazy high (thanks Supply shortages). I'm pretty upset bec I wanted a really small loan (abt 100k)and really thought I'd qualify. The worse part is, a house i was looking into where the numbers looked very good just went into contract. Any suggestions on how to get funding besides using a partner. Or how can i lower my dti ratio?

[Conner Olsen]

@Ezra Shami I agree with @Kristen L Garner about a DSCR loan, just wanted to explain it a little more. DSCR stands for debt service coverage ratio, basically the bank sees if the rent payments will cover the debt payments. The bank is analyzing the asset's ability to pay the loan instead of you and your credit. These loans are 'riskier' to a bank so they might come with a higher interest rate (maybe 1-2% higher than a traditional owner occupied loan) but it could work well for someone in your shoes!