Rental DSCR Loans
Let us help guide you to the highest leverage and lowest rates. These loans require a lender like Turning Point Lending who understands the factors that affect your pricing.
Rental DSCR Loans
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Loan Amount: $100,000 to $2,000,000
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Eligible Properties: 1-4 Family and Multifamily
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Max LTC: 80% Purchase and Term Refiance 75% Cashout Refiance
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Seasoning Period: 90 Days
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Loan Term Options:
30-Year Fixed, 30-Year Fixed Interest Only,
10/1 ARM, 5/1 ARM
Now its time to take your cash back with one of our DSCR Loan options
You’re at the end of your BRRRR Journey, you bought your investment property, rehabbed it, rented it, now you’re refinancing it, and then you’ll repeat.
Reliable DSCR Rental Loans
Winning Formula:
Competitive rates and maximum leverage are the two most important factors for choosing a DSCR lender, and we have that covered.
Expedited Seasoning:
Historically with DSCR lending, seasoning has been an issue, but no longer, as we can accommodate a 90-day seasoning period.
Peace of Mind:
When we started this company we knew that being a balance sheet lender was the only way to go. Because the only way to gain your trust, is to have some skin in the game.
DSCR Loans FAQ
Like the name of the loan product suggests, these loans are a Bridge to either a sale for profit or permanent financing. Like all of our products, from application to closing, your experience will be simple, efficient, and smooth.
DSCR is an acronym for Debt Service Coverage Ratio. And your DSCR ratio is derived by taking your monthly PITI (principle, interest, tax, & insurance) or PITIA and dividing it into your monthly rent. So, if your monthly PITI totals $1,250 and your monthly rent is $1,400, you would have a DSCR ratio of 1.12.
To qualify for a DSCR Loan, you need to have at least a 1.0 DSCR ratio. There is no maximum DSCR ratio. In fact, the higher your DSCR ratio, the better your loan pricing.
1-4 family and multifamily properties qualify. Property types that do not qualify are commercial properties, mixed use, and obviously, vacant land.
Yes. Single family homes need to have a tenant with a lease. 2-4 family properties can have only one vacant unit; all other units need to be tenant occupied.
DSCR is calculated by dividing the property’s net operating income (NOI) by the annual debt service (ADS). The NOI is the property’s income minus its operating expenses, and the ADS is the total amount of money that the borrower must pay each year to cover the loan payments.
A good DSCR ratio is typically between 1.25 and 1.50. However, the minimum acceptable DSCR ratio can vary depending on the lender and the property type.
DSCR loans can be a good option for borrowers who do not have a high income or who are looking for a loan that is not based on their credit score. They can also be a good option for borrowers who are looking for a loan for an investment property.
Maximize Your Commercial Real Estate Potential with Turning Point Lending’s DSCR Loans
Unlock the full potential of your commercial real estate investments with Turning Point Lending’s Debt Service Coverage Ratio (DSCR) Loans. Designed for long-term success, our DSCR loans consider your property’s cash flow potential, ensuring sustainability and profitability for your investments.
Competitive Rates and Flexible Terms
At Turning Point Lending, we are committed to your financial well-being, offering competitive interest rates and flexible terms. Whether you are purchasing, refinancing, or expanding your commercial property portfolio, our DSCR loans provide the financial stability you need to succeed in the competitive real estate market.
Nationwide Availability with Key Metropolitan Focus
Our DSCR Loans are available nationwide, serving property owners and investors in Pennsylvania, New Jersey, Delaware, and surrounding areas. Additionally, we cater to major metropolitan areas such as Houston, Texas; Philadelphia, Pennsylvania; Sarasota, Florida; Seattle, Washington; Tampa, Florida; Charlotte, North Carolina; and Clearwater, Florida. No matter where your commercial real estate ambitions lead you, Turning Point Lending is here to support your financial needs.
Your Partner in Commercial Real Estate Excellence
Turning Point Lending is dedicated to helping you unlock growth opportunities and maximize your return on investment with our DSCR loans. Elevate your commercial real estate ambitions with financing solutions meticulously tailored for your success. Your journey to commercial real estate excellence begins here, and we are with you every step of the way, no matter where you are in the country.
Experience the remarkable potential of Turning Point Lending’s DSCR Loans and take your commercial real estate ventures to new heights. Contact us today to learn more about how we can support your investment goals and ensure your long-term success.
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