Question 1

Can I use a DSCR loan for a primary residence?

Accepted Answer

No. DSCR loans are investment property only. For a primary residence, you'd need a bank statement or traditional loan.

Question 2

What credit score do I need for either loan?

Accepted Answer

Most non-QM lenders want at least 620 to 640. Higher scores get better rates on both products.

Question 3

Do both loans require a large down payment?

Accepted Answer

Typically yes. Bank statement loans often require 10-20% down. DSCR loans commonly require 20-25% for investment properties.

Question 4

Which loan closes faster?

Accepted Answer

DSCR loans can move quickly since there's no personal income to verify. Bank statement loans need time to review deposit history.

Question 5

Can a self-employed investor use either loan?

Accepted Answer

Yes. A self-employed investor buying a rental could use a DSCR loan and skip the bank statement review entirely.

Bank Statement vs DSCR Loans in Emeryville, CA