A Debt Service Coverage Ratio (DSCR) loan is an investment property loan that qualifies you based on the property’s cash flow, not your personal income or tax returns. Perfect for self-employed investors or anyone who wants to keep their personal finances separate from their investment strategy.

A Debt Service Coverage Ratio (DSCR) loan is an investment property loan that qualifies you based on the property’s cash flow, not your personal income or tax returns. Perfect for self-employed investors or anyone who wants to keep their personal finances separate from their investment strategy.

Most lenders want to see 1.0 or higher, meaning the property’s income covers the debt. Some will go as low as 0.75 DSCR with larger down payments. The higher your DSCR, the better your rate and terms.

Yes, in certain cases. If the property is vacant or under-rented, many lenders will use an appraisal-based market rent estimate (Form 1007) instead of actual rent roll.

Typically 660+ minimum, but 680-700+ gets you better rates. Some lenders will work with 640 if compensating factors are strong (larger down payment, high DSCR, significant reserves).

Usually 20-25% for investment properties. Some lenders require 25-30% for mixed-use or properties with complications. The more you put down, the better your terms.

Absolutely. Mixed-use is one of my specialties. Many traditional lenders won’t touch them, but DSCR lenders understand the NYC market and will finance retail/residential combos, walk-ups with storefronts, etc.

Yes, but it’s more complex. Lenders will underwrite based on actual stabilized rent (not market), and you’ll need strong reserves. Some lenders are more comfortable with this than others — that’s where my referral network matters.

The good ones do. That’s why I only work with lenders who have NYC experience and won’t freak out over legal non-conforming use, commercial overlays, or certificate of occupancy quirks.

Yes. We’ll use market rent projections from the appraisal. You may need higher reserves and a slightly larger down payment, but it’s absolutely doable.

DSCR loans typically aren’t for heavy rehab (that’s what hard money or construction loans are for), but light cosmetic work is fine. If it’s habitable and can generate rent, we can usually get it funded.

All five — Brooklyn, Queens, Bronx, Manhattan, and Staten Island. I have deep experience with each market’s unique characteristics and challenges.

Yes! DSCR loans are perfect for cash-out refinances after you’ve rehabbed and stabilized the property. You can pull equity based on the new appraised value and rental income.

Absolutely. DSCR loans don’t have the same conventional loan limits (10 financed properties max). You can keep acquiring as long as each deal makes sense and you have reserves.

Not with DSCR loans. Your personal income structure doesn’t matter — only the property’s cash flow. That’s why self-employed investors, business owners, and 1099 earners love these loans.

Even better. DSCR lenders love experienced investors with track records. Your existing portfolio can actually strengthen your application.

Yes. Most DSCR lenders allow LLC ownership, which is ideal for asset protection. Some require personal guarantees, but your entity can be on title.

Most lenders go up to $3-5M. Some specialty lenders go higher. NYC deal sizes tend to be larger, so this rarely becomes an issue.

Typically: signed purchase contract (or current mortgage statement for refi), rent roll or lease agreements, property insurance, 2-3 months bank statements showing reserves, and basic credit/ID docs.

Reserves are liquid assets (cash, stocks, retirement accounts) that show you can cover mortgage payments if the property goes vacant. Most lenders want 6-12 months PITI in reserves. More is better.

Some lenders will, especially if those properties have positive DSCR and strong payment history. It depends on the lender’s policy.

Not for DSCR loans. Whether you make $50K or $500K personally is irrelevant. The property’s numbers are what count.

Typically yes, by 0.5% – 2.0%, depending on your scenario. But the flexibility and lack of income documentation often make it worth it. Plus, you’re financing deals banks won’t touch.

Standard closing costs: origination fee (0.5-2%), appraisal ($500-800 in NYC), title insurance, recording fees, and escrows. No different from conventional in structure, though rates may vary slightly.

Typically 21-45 days, depending on appraisal turnaround and title work. NYC deals can take longer due to co-op boards, title issues, or complex ownership structures — but DSCR loans themselves process quickly.

Yes. I can connect you with lenders who’ll pre-qualify you based on a preliminary property analysis and your reserves/credit. This gives you credibility when making offers.

No. I’m a real estate investor and DSCR financing strategist. I don’t originate loans — I connect you with vetted lenders who specialize in complex NYC deals and actually close.

I’m compensated by the lenders I refer to, not by you. My service is free to investors. I only succeed when your deal closes, so we’re aligned.

Because I know which lenders will say yes to YOUR specific deal. I’ve done 50+ of these and know who handles mixed-use, who’s good with low DSCR, who moves fast, and who to avoid. I save you time and dead ends.

I’ll help you restructure or find alternative solutions. Sometimes it’s about presenting the deal differently, adding reserves, or going to a different lender. I don’t give up easily.

DSCR is my specialty, but I have relationships with hard money lenders, portfolio lenders, and conventional sources too. If DSCR isn’t the right fit, I’ll tell you and point you in the right direction.

Visit BKDSCR.com and run your numbers with our free DSCR calculator. Then reach out for a consultation. We’ll review your deal, discuss your options, and I’ll connect you with the right lender.

Low reserves, poor credit, properties that don’t appraise, major title issues, or unrealistic rent projections. If the numbers don’t work, no amount of creativity will fix it.

Absolutely not. Lenders verify rent rolls against leases and market data. Fraud gets you blacklisted (and potentially prosecuted). Be honest — if the deal doesn’t work, it doesn’t work.

No. Multiple credit pulls hurt your score, and lenders can see when you’re shopping around aggressively. Work with someone (like me) who knows the landscape and can direct you to the right fit on the first try.

That’s exactly who I help. Bank denials don’t mean anything for DSCR loans — different underwriting, different criteria, different outcome.