DSCR lenders that will lend 100% on purchase

[Aaron Bihl]

We occasionally come across properties that need little to no work that we would like to keep as rentals. We are buying at a discount but when talking to DSCR lenders all want a 20% percent down payment even if the property is being bought at less than 75-80 percent of the appraisal value.

Has anyone worked with lenders that will do a purchase and base the downpayment (or lack of downpayment) on the appraisal value not purchase price? 

***I'm not talking about refinances, I'm talking about purchasing a turnkey property at a discount and wanting to immediately buy with a 30 year DSCR product***

[Robin Simon]

This is not possible - no DSCR lender will do this, this type of excess was a factor in the issues that led to the financial crisis of 2008, nowadays DSCR lenders (who sell to the secondary capital markets) will have to use lower of purchase price or appraised value to make sure there is no funny business going on with the valuation..