DSCR Home Loan

[Laura Lewis]

Hi all, 

I've been looking into applying for the DSCR loan. I'm new to the world of real estate, so I don't have very much experience. I just have a few questions about this type of loan. How exactly does this loan work? How much of a down payment is needed? What type of interests rates does this loan come with? Are the interest rates much higher for the DSCR loan in comparison to a conventional loan? What all is needed in order to obtain approval for a DSCR loan?

[Robin Simon]

Hi - you've come to the right place - see below for a comprehensive 10-part article series on published here on BiggerPockets last year on everything you need to know on DSCR Loans!

One note - you put "Home" loan in the title - to clarify, DSCR Loans are 100% no ifs ands or buts rental properties only - so no owner-occupied at all, not even if its multi units and some of the units are rented.

DSCR Loans: What Are They And How To Get The Best Terms

https://www.biggerpockets.com/...

DSCR Loans: How To Use Pro Strategies To Save More And Make More

https://www.biggerpockets.com/...

Multifamily DSCR Loans: A New High-Impact Loan Option For Real Estate Investors?

https://www.biggerpockets.com/...

12 Frequently Asked Questions (And Answers) About DSCR Loans

https://www.biggerpockets.com/...

8 More Commonly Asked Questions and Answers to DSCR Loans

https://www.biggerpockets.com/blog/eight-questions-and-answe...

What Documents Do You Need for a DSCR Loan?

https://www.biggerpockets.com/blog/what-documents-do-you-nee...

BRRRR Loans: What Are the Options, and How Do DSCR Loans Stack Up?

https://www.biggerpockets.com/blog/brrrr-loans-what-are-the-...

Short-Term Rental Loans: What Are the Options and How Do DSCR Loans Stack Up?

https://www.biggerpockets.com/blog/short-term-rental-loans-a...

DSCR Loans: Terms to Know When Working With These Popular Rental Loan

https://www.biggerpockets.com/blog/dscr-loans-terms-to-know

What’s Next For DSCR Loans? Updates For 2024 and Beyond

https://www.biggerpockets.com/blog/what-is-coming-in-2024-fo...