What Is a DSCR Loan? 2026 Guide to Requirements, Formula, Pros & Cons
A DSCR loan is an investment-property mortgage that qualifies primarily from the rental property’s cash flow instead of using the borrower’s personal income to calculate a traditional debt-to-income ratio. For residential DSCR programs, lenders commonly compare qualifying monthly rent with the property’s monthly PITIA payment, which includes principal, interest, taxes, insurance, and applicable association dues. […]