Investor Cash Flow Home Loans also known as a DSCR (Debt to Service Coverage Ratio) loans are designed for borrowers who own or purchase residential investment properties. An Investor Cash Flow Home Loan is a measure of how much monthly rental income a homeowner receives (or could receive) from the subject property in relation to the homeowner’s monthly mortgage payment inclusive of property taxes, insurance, HOA dues, etc. Investor Cash Flow Home Loans are eligible for rental properties only.
Investor Cash Flow Home Loans are mortgage loans used for purchasing or refinancing short-term or long-term rental investment properties. No income documentation is required. An Investor Cash Flow Home Loans qualifies borrowers based solely on the cash flow from the subject property. Market rent as determined by an appraiser and lease agreements (when applicable) are the primary tools used to assess the cash flow of the investment property.
Investor Cash Flow Home Loan Requirements:
- No income documentation or employment required
- Minimum credit score of 620
- Minimum loan amount is $100,000
- Maximum loan amount is $3,000,000
- Minimum reserves required are as low as 2 months
- Loan-to-Value (LTV) up to 80% for purchase or rate/term refinances; up to 75% for cash-out refinances
- Eligible property types include Single Family Residence, Condos, including Condotels, 2-4 units.
Investor Cash Flow Home Loan Benefits:
- There is no Debt-to-Income (DTI) or residual income requirement
- Properties can vest title in an LLC, S-Corp, C-Corp, or revocable trust
- Cash-out proceeds can satisfy reserve requirements
- Interest Only loans available
- Vacant properties with no vacancy factor are eligible for refinancing
- Borrower can own unlimited financed properties
- First time investors allowed
