Question 1

Can I use a DSCR loan to buy a primary residence in Pleasanton?

Accepted Answer

No. DSCR loans are for investment properties only. You need a conventional or government-backed loan for a home you'll live in.

Question 2

What credit score do I need for a DSCR loan?

Accepted Answer

Most DSCR lenders require at least a 680 credit score. Some go lower, but expect a higher rate.

Question 3

Do DSCR loans require tax returns?

Accepted Answer

No. That's the point. Lenders qualify you on the rental income, not your personal tax filings.

Question 4

Which loan has a lower interest rate?

Accepted Answer

Conventional rates are generally lower. DSCR loans carry a premium for the flexible qualification. Rates vary by borrower profile and market conditions.

Question 5

Can an LLC take out a DSCR loan in Pleasanton?

Accepted Answer

Yes. Many DSCR lenders allow LLC borrowers. Conventional loans typically require an individual borrower.

Question 6

How much do I need to put down on a DSCR loan?

Accepted Answer

Expect 20-25% down. Some lenders go to 30% depending on the property type and DSCR ratio.

Conventional vs DSCR Loans in Pleasanton, CA