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Understanding DSCR Loans: How They Work, Requirements, and Eligibility

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Struggling to qualify for a rental property loan? DSCR might be your answer!

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Understanding DSCR Loans: How They Work, Requirements, and Eligibility
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  • 1

    DSCR Loans: Cash-Flow Based Financing

    DSCR loans qualify based on property income, not borrower income.

  • 2

    Ideal for Rental Property Investors

    Perfect for scaling portfolios, complex income, or self-employment.

  • 3

    DSCR Calculation: NOI vs. Debt

    DSCR is calculated by dividing net operating income by total debt service.

  • 4

    Weigh Pros and Cons Carefully

    Higher rates vs. easier qualification; assess your needs.

  • 5

    Property Eligibility is Key

    Verify property types and rental strategies align with lender guidelines.

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