Interested in DSCR loan for commerical property

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Interested in DSCR loan for commerical property

Tammy FlemingBusiness Member
Real Estate Broker · Houston · Member since 2024 · 18 posts · 5 votes

I hear there are now DSCR loans for commercial property. I have a hair salon I am interested in doing a cash-out refi on. Does anyone know of someone who does these types of loans?

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  • Erik EstradaBusiness Member
    Lender · Member since 2022 · 6k+ posts · 1k+ votes
    1y
    Quote from @Tammy Fleming:

    I hear there are now DSCR loans for commercial property. I have a hair salon I am interested in doing a cash-out refi on. Does anyone know of someone who does these types of loans?


     Hi Tammy, 

    Is this for a non-owner occupied commercial property? Or is this a hair salon that you own and operate?

    [email protected]818-269-7983
    LuxePrivate Investments LLC 572 Reviews
    WebsiteView Page
    0Reply
    • Tammy FlemingBusiness Member
      OP
      Real Estate Broker · Houston · Member since 2024 · 18 posts · 5 votes
      1y
      Quote from @Erik Estrada:
      Quote from @Tammy Fleming:

      I hear there are now DSCR loans for commercial property. I have a hair salon I am interested in doing a cash-out refi on. Does anyone know of someone who does these types of loans?


       Hi Tammy, 

      Is this for a non-owner occupied commercial property? Or is this a hair salon that you own and operate?


       Yes this is an owner occupied building

      0Reply
  • Mike GrudzienPro Member
    Lender · Eugene, OR · Member since 2019 · 2k+ posts · 1k+ votes
    1y

    Do you have the hair salon business and own the building?

    0Reply
    • Tammy FlemingBusiness Member
      OP
      Real Estate Broker · Houston · Member since 2024 · 18 posts · 5 votes
      1y
      Quote from @Mike Grudzien:

      Do you have the hair salon business and own the building?


       yes that is correct

      0Reply
    • Tammy FlemingBusiness Member
      OP
      Real Estate Broker · Houston · Member since 2024 · 18 posts · 5 votes
      1y
      Quote from @Mike Grudzien:

      Do you have the hair salon business and own the building?

      Yes i have the hair salon business inside the building. Is there a loan for that?  
      0Reply
  • Mike GrudzienPro Member
    Lender · Eugene, OR · Member since 2019 · 2k+ posts · 1k+ votes
    1y

    How long have you run this/or any/all hair salons?

    0Reply
    • Tammy FlemingBusiness Member
      OP
      Real Estate Broker · Houston · Member since 2024 · 18 posts · 5 votes
      1y
      Quote from @Mike Grudzien:

      How long have you run this/or any/all hair salons?


       I have had a hair salon business for 30 years

      0Reply
  • Tammy FlemingBusiness Member
    OP
    Real Estate Broker · Houston · Member since 2024 · 18 posts · 5 votes
    1y

    Its a salon i own and operate I have booth renters. 

    0Reply
  • Tammy FlemingBusiness Member
    OP
    Real Estate Broker · Houston · Member since 2024 · 18 posts · 5 votes
    1y

    Yes Mike

    0Reply
  • Tammy FlemingBusiness Member
    OP
    Real Estate Broker · Houston · Member since 2024 · 18 posts · 5 votes
    1y

    for 30 years

    0Reply
  • Deven Ziertman
    Member since 2025 · 77 posts · 15 votes
    1y

    Yes, you can get a DSCR loan for a commercial property, including for a business you own, like a hair salon. The loan is typically based on the property's rental income, and for a property with tenants or potential for rental income, lenders will use projected rents (no lease required). It's important to confirm whether the property qualifies and the specific terms of the loan based on the type of property and its income potential.

    0Reply
    • Tammy FlemingBusiness Member
      OP
      Real Estate Broker · Houston · Member since 2024 · 18 posts · 5 votes
      1y
      Quote from @Deven Ziertman:

      Yes, you can get a DSCR loan for a commercial property, including for a business you own, like a hair salon. The loan is typically based on the property's rental income, and for a property with tenants or potential for rental income, lenders will use projected rents (no lease required). It's important to confirm whether the property qualifies and the specific terms of the loan based on the type of property and its income potential.

      Hi Deven 

      Can you send me your number. I would like to speak with you
      0Reply
    • Deven Ziertman
      Member since 2025 · 77 posts · 15 votes
      1y
      Quote from @Tammy Fleming:
      Quote from @Deven Ziertman:

      Yes, you can get a DSCR loan for a commercial property, including for a business you own, like a hair salon. The loan is typically based on the property's rental income, and for a property with tenants or potential for rental income, lenders will use projected rents (no lease required). It's important to confirm whether the property qualifies and the specific terms of the loan based on the type of property and its income potential.

      Hi Deven 

      Can you send me your number. I would like to speak with you

      [email protected]
      0Reply
  • Joyce Ann MagallanesBusiness Member
    Lender · NY · Member since 2025 · 498 posts · 22 votes
    1y

    Hi Tammy! 

    Yes, we actually offer commercial DSCR loans with a minimum DSCR as low as 0.75.

    [email protected]646-914-9393
    Venture Estate Group LLC525 Reviews
    WebsiteView Page
    0Reply
  • Gregory SchwartzBusiness Member
    Rental Property Investor · College Station, TX · Member since 2016 · 1k+ posts · 1k+ votes
    1y

    @Tammy Fleming have you looked into the SBA 7a loan? 

    [email protected]443-812-0357
    Schwartz Realty Group5116 Reviews
    WebsiteView Page
    0Reply
  • Kristen L GarnerBusiness Member
    Lender · Phoenix, AZ · Member since 2021 · 451 posts · 287 votes
    1y

    Hi Tammy, I have a few different lending options for this scenario.  If you'd like to reach out I can give you more information. 

    [email protected]213-880-0434
    0Reply
  • Rebecca Dorton
    Lender · Detroit Metro · Member since 2025 · 7 posts · 2 votes
    1y

    Tammy,

    You have heard correctly that there are now expanded options for DSCR Loans that have extended some programs into the commercial lending space. I have a few loan programs that could potentially meet your needs, depending on the property and leasing structure. DM me for more information.

    0Reply
    • Tammy FlemingBusiness Member
      OP
      Real Estate Broker · Houston · Member since 2024 · 18 posts · 5 votes
      1y
      Quote from @Rebecca Dorton:

      Tammy,

      You have heard correctly that there are now expanded options for DSCR Loans that have extended some programs into the commercial lending space. I have a few loan programs that could potentially meet your needs, depending on the property and leasing structure. DM me for more information.

      Hi Rebecca
      Please send me your phone number. 
      0Reply
  • Margie Cindy Santos
    Lender · Member since 2025 · 19 posts · 6 votes
    1y

    Hi Tammy, yes, there is DSCR on Commerical properties (light doc commercial program) - some will go off of DSCR = NOI/PI calculation and some will go off of DSCR = Rent/PITIA. However, if it's an owner occupied commercial (owner is running a business in the building), typically the DSCR program no longer applies. In this case you can use a bank statement program - use 12-24 month average of the bank statement as income and qualify based on DTI.

    0Reply
    • Tammy FlemingBusiness Member
      OP
      Real Estate Broker · Houston · Member since 2024 · 18 posts · 5 votes
      1y
      Quote from @Margie Cindy Santos:

      Hi Tammy, yes, there is DSCR on Commerical properties (light doc commercial program) - some will go off of DSCR = NOI/PI calculation and some will go off of DSCR = Rent/PITIA. However, if it's an owner occupied commercial (owner is running a business in the building), typically the DSCR program no longer applies. In this case you can use a bank statement program - use 12-24 month average of the bank statement as income and qualify based on DTI.


       Hello Margie

      I may be interested in that. Can you send me your number?

      0Reply
  • Mike GrudzienPro Member
    Lender · Eugene, OR · Member since 2019 · 2k+ posts · 1k+ votes
    1y

    No, I don't have a loan for that.  My question was an attempt to get more information on your situation so that others can reply once it's defined.

    0Reply
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