Veterans Direct Mortgage

For Property Investors · Everyone Welcome

DSCR Investment Property Loans

Debt-Service Coverage Ratio loans qualify the property, not you: if the rent covers the payment, the deal can stand on its own — no tax returns, no employment verification, no debt-to-income calculation, and no limit on how many properties you finance this way.

The Property's Rent

Qualifying Income

None

Personal Income Docs

20–25%

Typical Down

None

Portfolio Cap

How DSCR qualifying works

The lender divides the property's rental income by its full payment (principal, interest, taxes, insurance, association dues). A ratio of 1.0+ means the property carries itself; the stronger the ratio, the better the pricing. Some programs close below 1.0 with compensating strength.

Closings can be in an LLC, rates run above owner-occupied conventional (investor risk always prices higher), and prepayment penalties are common in exchange for better rates — all standard for the product, all things we walk through plainly.

Straight Answers

DSCR Investment Loans: what buyers ask

What DSCR ratio do I need?

1.0–1.25+ unlocks most programs and the best pricing; sub-1.0 options exist with larger down payments. We calculate it from the appraiser's market-rent analysis or actual leases.

Can I close in an LLC?

Yes — most DSCR programs allow entity vesting, which conventional investor loans don't. That's a major reason portfolio investors choose them.

Do short-term rental projections count?

Many programs accept documented STR income (12-month history or credible market analysis). Program selection matters here — another place 220+ lenders beats one.

How is this different from a conventional investment loan?

Conventional uses YOUR income and DTI and caps your financed properties; DSCR uses the PROPERTY'S income with no cap. Conventional is usually cheaper for your first properties; DSCR is how you scale.

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Other programs worth pricing

Serving in the military, or served? The VA loan is our specialty — $0 down, no PMI, and usually unbeatable if you qualify.

220+ lenders. One application. Your best deal.