Rental & DSCR loans
Financing for leased or soon-to-be-leased 1–4 unit properties, including BRRRR refinances and longer-term investor loans sized to the property’s income.
- Loan size
- $500K – $5M
- Property
- 1–4 unit residential
- Occupancy
- Non-owner occupied
- Capital
- Private & alternative
How rental & DSCR loans work
Rental property financing covers investors who intend to hold. Depending on the lender, loans may be sized primarily on the property’s rental income relative to its debt service (often expressed as a debt service coverage ratio, or DSCR) rather than on the borrower’s personal income.
For BRRRR and value-add strategies, rental financing is often the second step: a short-term acquisition or renovation loan is followed by a longer-term refinance once the property is improved and leased. Planning both steps at the outset can make the transition smoother.
Commonly used for
- Long-term financing sized on rental income
- BRRRR refinance after renovation and lease-up
- Purchasing a leased 1–4 unit property
What lenders look at
- In-place or market rents and lease status
- Debt service coverage based on rental income
- Property condition and stabilization
- Refinance timing for BRRRR strategies
Rate, leverage, fees and term depend on the deal and the lender. All loans are subject to lender underwriting and approval.
Questions
Do you finance rental properties?
Yes. We arrange financing for 1–4 unit rental properties, including purchases, refinances, and BRRRR strategies. Some lenders size these loans primarily on the property’s rental income relative to its debt payments.
Can you refinance an existing property?
Yes. We work on rate-and-term and cash-out refinances of investment properties, including paying off maturing bridge or renovation loans. Eligibility and available leverage depend on the property’s current value, condition, income, how long it has been owned, and the lender’s guidelines.
What credit score is required?
There is no single minimum. Credit requirements vary by lender and program, and credit is considered together with the property, the loan-to-value, liquidity, and experience. A stronger overall profile generally provides access to more options and better terms.
The credit score range on our request form helps us understand which sources may be a fit. Submitting a request does not by itself involve a credit inquiry; any credit review would be part of a lender’s formal application process.
What determines loan terms?
Terms are set by the lender, not by us, and reflect the full transaction: loan amount and leverage, property type, location and condition, the business plan and exit, the borrower’s experience, credit, and liquidity, and prevailing market conditions.
Rates, fees, loan term, and other conditions vary by transaction and lender. Any terms are subject to lender underwriting and final approval.
Have a deal in mind?
Tell us the property, the price, and what you need. An advisor will call you back to talk it through.