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DSCR Loans for Rental Property Investors
Qualify on the rental income, not your tax returns. Standard and no-ratio DSCR, available in most states.
- Qualify on rental income
- No-ratio DSCR on select programs
- Purchase, refinance and cash-out
On select programs, subject to lender approval. Not all applicants will qualify. Term sheets are subject to review and lender approval. Not a commitment to lend.
Blue Fox Capital Corporation arranges and places Debt Service Coverage Ratio (DSCR) loans for real estate investors, along with other business-purpose investor and commercial financing, in most states. Availability depends on the program, the property type and the state, and we confirm it for your deal before anything is submitted. Qualify based on your investment property’s rental income — not your personal tax returns or W-2s.
California investor? See our California Investor Rental Loans (DSCR & Bank Statement) page. Refinancing out of a hard money loan or a finished construction project? See refinancing a hard money loan into a DSCR loan and Construction Takeout Loans.
Loan Highlights
- Leverage: varies by program and transaction type; cash-out limits are often lower
- Credit Score: minimums apply and vary by program
- DSCR: programs at 1.0x and above, with select programs below 1.0x or no-ratio, with restrictions
- Availability: Most states, depending on the program and property type; subject to lender approval
How DSCR Loans Work
A DSCR loan qualifies you based on the property’s ability to generate income, not your personal finances. The Debt Service Coverage Ratio compares the property’s net operating income to its debt obligations. A DSCR of 1.25x means the property generates 25% more income than needed to cover the mortgage payment.
Who DSCR Loans Are For
- Portfolio Investors — Grow a rental portfolio, with LLC vesting on select programs
- Self-Employed Borrowers — No personal tax returns needed on DSCR programs (investment properties only)
- Short-Term Rental / Airbnb Investors — Programs for STR income
- Business Owners — Complex tax returns are not a barrier
Eligible Property Types
- Single-family rentals
- Multifamily (2–4 units)
- Small multifamily (5–8 units) and 2–8 unit mixed-use on select programs
- Short-term rentals / Airbnb / VRBO
DSCR vs. Conventional Investment Loans
| Feature | DSCR Loan | Conventional |
|---|---|---|
| Income Verification | Property income only | Full personal income docs |
| Tax Returns Required | No | Yes (2 years) |
| Self-Employed Friendly | Yes | Complex |
Program Options
- Standard DSCR (1.0x and above) — Generally the strongest terms, for properties whose rent covers the payment
- Low-Ratio and No-Ratio DSCR — Select programs allow a ratio below 1.0x or no ratio, usually with lower leverage and other restrictions. See No-Ratio DSCR Loans.
Simple documentation, foreign nationals considered, available in most states on most programs. Programs, terms, states and availability vary and are subject to credit, property eligibility and lender approval.
- Fixed-Rate Investor — Fully amortizing loans for purchase, rate/term and cash-out refinance
- High-Equity Investor — For borrowers with significant equity, with simple documentation and flexible credit guidelines
- Interest-Only Investor — Interest-only payment option for investor financing
- Large-Balance Investor Loans — In major metro areas, for experienced investors
Additional investor programs for single-family, condo and 2–4 unit investment property, subject to approval:
Investor Programs: 1–4 Unit Rental and Investment Property
Get Your DSCR Loan Quote
Ready to scale your portfolio without the paperwork? Call (310) 756-3619 or request your term sheet — term sheets are subject to review and lender approval.
← Back to All ProductsGet a DSCR Loan Quote
Own or plan to buy a rental property? Let us run the numbers on a DSCR loan for your investment.
DSCR Loan FAQ
What is a DSCR loan?
A DSCR (Debt Service Coverage Ratio) loan qualifies you based on the rental income of the property rather than your personal income. If the property’s rent covers the mortgage payment, you can qualify.
Do I need to show tax returns for a DSCR loan?
No. DSCR loans do not require personal tax returns, W-2s, or pay stubs. Qualification is based on the property’s cash flow.
What is the minimum DSCR ratio required?
Most programs require a minimum DSCR of 1.0, meaning the property’s rental income must at least cover the monthly mortgage payment. Some programs allow ratios below 1.0 with compensating factors.
Can I use a DSCR loan for short-term rentals?
Yes. Many DSCR programs accept short-term rental income from platforms like Airbnb, using either actual rental history or a market rent analysis.
Can you arrange investor loans that are not DSCR loans?
Yes. For one- to four-unit investment property we also arrange and place investor programs that qualify on simple documentation, including a high-equity option with flexible credit guidelines. Terms, loan amounts and availability vary and are subject to approval.
Blue Fox Capital Corporation arranges and places financing for real estate investors, commercial property owners and California homeowners. Blue Fox Capital Corporation is a licensed California mortgage broker (DRE 01527288, NMLS 1840487). On select correspondent loan programs it is the direct lender named on the loan documents. We confirm the role for your loan before anything is submitted. Programs, terms and availability vary by loan and are subject to approval. Daniel Eckhouse, NMLS 217328 | CA DRE 01977403. The loans described on this page are business-purpose loans secured by non-owner-occupied investment or commercial property. They aren’t available for a home you live in or plan to live in. Program ranges are marketing ranges, not guarantees. They’re subject to change without notice, and to borrower qualification, property eligibility, appraisal and lender approval. Not all applicants will qualify. This is not a commitment to lend. Equal Housing Opportunity. 4695 MacArthur Court, 11th Floor, Newport Beach, CA 92660 | (310) 756-3619 | dan@bluefoxcapital.com