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Alex Turner
  • Lender
  • Denver
25
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22
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Who is using DSCR Loans?

Alex Turner
  • Lender
  • Denver
Posted Mar 3 2022, 10:36

DSCR or (Debt Service Coverage Ratio) loans are loans granted on the bases that an investment property will cash flow based on a 1007 Rent schedule appraisal.

The rent schedule is based on LTR rents.

The greatest advantage to these loans that there is no income or employment required to qualify.

I wonder for investors out there that look at properties for STR, when you do an analysis of the property for STR would the property still cashflow for LTR as well? I assume you look at STRs for greater cash flow, but interested on the comparison between the analysis of a property for STR vs. LTR.

Thanks

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