General DSCR Loan Information

[Dan Green]

Hey everyone. Looking for a general understanding of how DSCR Loans work. I understand that ratio generally needs to be around 1.2, but what's the percentage of an average down payment on one I should expect to pay? How do I tie it to a new LLC with no prior experience/credit attached to it?Anything else I should be considering?

Any advice would be appreciated. Thank you.

[Brandon Plombon]

As most others have stated - most places will want to see 20-25% for a down payment on a any commercial property. Most DSCR will need to be around 1.1-1.25x most purchase agreements will have your individual name and or assignee and assuming you have all the entity documentation required by the lender (articles of incorporation, operating agreement, bylaws, ect.) you should be able to get the loan in your entity's name.