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Residential Homes by the lake

DEBT-SERVICE COVERAGE RATIO (DSCR) LOAN

What are DSCR Loans?

DSCR (Debt Service Coverage Ratio) loans are a powerful tool for real estate investors looking to purchase rental properties. Unlike traditional loans, DSCR loans focus on the property's income potential rather than your personal income. This means your rental income will be the primary factor in determining your loan approval.

Why Choose DSCR Loans?

  • Speed and Flexibility: Hard money DSCR loans can be approved and funded quickly, allowing you to seize investment opportunities fast.

  • Alternative to Traditional Lenders: If you've been turned down by banks, hard money lenders may offer a solution.

  • Focus on Property Value and Equity: We primarily assess the property's value and your down payment, making it easier to overcome credit challenges.

  • Ideal for Distressed Properties: Secure financing for properties that may not meet traditional lending guidelines.

What You'll Need:

  • Down Payment: Typically 20% or more of the property's value.

  • Cash Reserves: To cover holding costs like vacancies and repairs.

  • Exit Strategy: A clear plan to refinance or sell the property within the loan term (usually 6 months to 2 years).

How We Can Help?

At Avance Financial, we specialize in DSCR loans for rental properties. We offer competitive rates, flexible terms, and streamlined approval processes. Whether you're a seasoned investor or just starting, we'll work with you to find the right financing solution for your rental property investments.

Ready to Get Started?

Contact us today to discuss your investment goals and explore our DSCR loan options.

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