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DSCR Loan Guidelines

Investor-focused DSCR loan guidelines for rental properties

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DSCR Guidelines

Compare DSCR Loan Requirements, Guidelines & Program Options

The DSCR marketplace is made up of dozens of lenders, each with slightly different guidelines. At Crestmark Lending, we compare the top national DSCR programs and match you to the best option based on your:

  • Property type
  • DSCR ratio
  • Credit score
  • Loan amount
  • Long-term or short-term rental income
  • LLC or personal title
  • Cash-out or purchase scenario

The information below outlines general DSCR loan requirements and eligibility, providing a snapshot of typical program ranges and underwriting guidelines.

DSCR Loan Eligibility Guidelines

Exact DSCR lender guidelines vary — we shop them for you and select the best match.

Credit Score Requirements

Program Type
Minimum FICO
Best Pricing FICO
Standard DSCR
620–660+
700+
STR/Airbnb DSCR
640–660+
700+
Low DSCR (<1.0)
660+
700+
Multi-Family (2–8 units)
660+
700+

DSCR Ratio Requirements

Scenario
Typical Minimum DSCR
Notes
Strong cash flow
1.20+
Best pricing & smoothest approval
Standard approval
1.00–1.19
Most common range
Limited cash flow
0.75–0.99
Higher rates / lower LTV
Break-even (0.00–0.74)
Case-by-case
Few lenders offer; higher reserves

Maximum LTV Limits

Transaction Type
Max LTV
Purchase
Up to 80%
Rate & Term Refi
Up to 75–80%
Cash-Out Refi
Up to 75–80%
DSCR < 1.0
Typically 65–70%
Condos / Non-Warrantable
65–75%

Loan Amount Limits

Program Type
Loan Size
Standard DSCR
$75,000 – $3,000,000
High-Balance DSCR
Up to $5,000,000
Portfolio Loans
No hard limit (cross-collateral available)
Small Multi-Family
Up to $3–8M depending on units

Property Types Eligible

Property Type
Eligible?
Single-Family (1 unit)
✔
Condo / Townhome
✔
Non-Warrantable Condo
✔ (case-by-case)
Duplex, Triplex, Fourplex
✔
Multi-Family 5–8 Units
✔ (select lenders)
Condotel
Possible (case-by-case)
New Construction STR
Possible (lender dependent)
Mobile/Manufactured
Limited (case-by-case)

Reserve Requirements

Loan Size / Profile
Reserves
Strong DSCR + High FICO
3–6 months
Standard DSCR
6 months
DSCR < 1.0 or STR
9–12 months
Portfolio Loans
12+ months

Prepayment Penalty Options

Prepay Structure
Available?
Notes
5-Year Standard
✔
Lowest rate
3-Year Stepdown
✔
Common
1-Year
✔
Higher rate
No Prepay
✔
Highest rate (rarely used)

Eligible Borrower Structures

Borrower Type
Eligible?
Individual / Personal Name
✔
LLC
✔
Corporation (S-Corp/C-Corp)
✔
Partnership
✔
Trust
Possible (case-by-case)
Foreign National
✔ (special programs)

Income Documentation Accepted

Income Type
Accepted
Notes
Long-term lease
✔
Most common
DSCR Market Rent (Form 1007)
✔
Used for LTR
Actual Airbnb / VRBO income
✔
Uses STR income history
Projected STR income
✔
Appraisal-based or AirDNA
Personal income docs
✕
Not required

This DSCR Loan Guideline shows the current underwriting guidelines from major DSCR lenders across the market. Requirements vary by lender, property type, and borrower profile. Use this guide to compare LTVs, credit score minimums, reserve requirements, DSCR ratios, STR eligibility, and more.