Does pure DSCR works for long-term rentals?

Question

Landlords — curious how many here have switched to DSCR loans to grow your portfolio faster?

I’ve seen a lot of buy-and-hold investors use DSCR to acquire without tax return hurdles.

Trevor Higgins · Answer

I would say that about 70% of the deals we are doing right now are using DSCR loans. The rest would be our in house hybrid, bank statement, or standard conventional lending products.
I have also noticed an uptick in our investment home equity loans and HELOC applications, this can be a good options for scaling as well.

Andrew Postell · Answer

@Tracy Thielman I mean, getting an accurate % of how many of us are using these loans might be a little hard but most of us are using these loans. Even if you are using Fannie/Freddie stuff...they will limit you to 10 loans, so you'll have to use DSCR loans eventually any way. And to answer your subject line question - yes, pure DSCR loans absolutely work for long-term rentals.

Hope all of that makes sense. Thanks!

Does pure DSCR works for long-term rentals?

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