Terms of a DSCR Loan

[Felicia Lucco]

Are DSCR Loans for vacation properties akin to hard money loans for flipping in terms of fees, higher rates, and higher risk?

[Alex Bekeza]

@Felicia Lucco I think you'd be pleasantly surprised regarding what commercial loan options are becoming available for STRs if you talk to the right mortgage company. I'm seeing 30 year fixed, 75% LTV, in the 4s/5s. Higher than conventional of course but I'd say fairly in line with what is being offered on long term rentals now. This is WITHOUT relying on long term market rents to debt cover AND w/o requiring 12 months operating history.