Investor loan questions, answered.

1. What is a DSCR loan, and how do I qualify without tax returns?

A DSCR (debt service coverage ratio) loan is a business-purpose loan that qualifies on the rental property's cash flow. No tax returns, W-2s or debt-to-income ratio.

The ratio is gross monthly rent divided by PITIA (principal, interest, taxes, insurance and HOA). Best pricing at 0.8 or higher. Minimum 0.75 with a pricing adjustment.

2. What is the difference between a hard money loan and a DSCR loan?

Property condition and how long you hold it.

Hard money is short-term financing (6-24 months) for properties that need rehab: flips and BRRRR purchases.

DSCR is long-term financing (30-year terms) for rent-ready properties you keep as rentals.

3. How do bank statement loans work for self-employed borrowers?

Income is calculated from 12 to 24 months of personal or business bank statements, not tax returns.

Built for business owners whose write-offs lower their taxable income.

4. Can I use a DSCR loan for a short-term rental like Airbnb or VRBO?

Yes. Short-term rentals qualify.

Qualifying rent comes from 12 months of Airbnb or VRBO booking history, a short-term rental appraisal or third-party data such as AirDNA.

5. How fast does a hard money loan close compared with a bank loan?

Fix and flip (hard-money) and bridge loans close in 7-14 days. Bank loans take 30-45 days or more.

The lender underwrites the property and its after-repair value (ARV), not your personal income.

6. What credit score and down payment does a DSCR loan need?

No single cutoff. Credit, LTV, DSCR, property type and reserves are priced together, and a stronger file gets better terms. Your term sheet shows your exact numbers.

Down payment: 15% to 25% on a purchase. Up to 85% LTV for U.S. residents, subject to underwriting.

7. What is ARV, and how much of a flip does the loan cover?

ARV is the after-repair value: what the property is worth once the planned renovation is done.

Fix-and-flip loans cover up to 90% of the purchase price (up to 100% for experienced investors) and up to 100% of the rehab budget.

The total loan stays within 75% of ARV, subject to underwriting.

8. Can I close a DSCR or hard money loan in an LLC?

Yes. Closing in an LLC, S-Corp, partnership or corporation is standard on investment property.

An LLC limits personal liability and keeps a growing portfolio organized.

9. What is a non-QM loan, and do you arrange them?

A non-QM (non-qualified mortgage) loan sits outside the Fannie Mae and Freddie Mac rules. It qualifies on the property's rent, bank statements or assets instead of tax returns.

We arrange them on investment property only, such as DSCR loans for rentals. Never on a home you live in.

10. Can I get a DSCR loan with a ratio below 1.0 (no-ratio DSCR)?

Yes. Best pricing starts at a DSCR of 0.8. Lenders fund down to 0.75 with a pricing adjustment.

No-ratio programs cover deals where rent does not cover the payment, such as vacant properties you plan to stabilize.

Expect 25-30% or more down and stronger credit.