Real EstateEducation

DSCR Loans for Investment Property

Qualify on rentDebt-Service Coverage Ratio · terms vary by lender

DSCR loans qualify investors based on the property's rental income covering its debt — not your personal income — making them popular for rentals.

Who it's for

Real estate investors — including self-employed borrowers — buying income-producing rentals.

General eligibility

  • Property's rent typically must cover the debt (DSCR ≥ ~1.0–1.25)
  • Down payment usually 20–25%+
  • Minimum credit score set by lender

What you'll typically need

  • Lease or market-rent analysis
  • Down payment and cash reserves
  • Property appraisal with a rent schedule

Program information summarized from the agency's public materials. Not an offer of credit, a guarantee of eligibility, or an endorsement by the agency. Requirements change over time — always confirm current details with the agency or a licensed professional.