DSCR loans for investors ? what they are (and aren?t)
That's usually the wrong question.
The better question is: Which financing structure fits the transaction?
Primary residence ? QM residential financing may be the logical starting point.
Non-owner-occupied rental ? DSCR may be worth evaluating.
Investors with complex income ? DSCR can provide a different underwriting approach, depending on the program.
The property, occupancy, borrower profile, income, reserves and lender guidelines all matter.
A mortgage should support the investment strategy, not force the investment strategy to fit the mortgage.