Question 1

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

Accepted Answer

No. DSCR is investment property only. For a primary home, you'd need Bank Statement or another income-based loan.

Question 2

Do Bank Statement Loans require good credit?

Accepted Answer

Most lenders want a 660 or higher. Some go down to 620 with a higher down payment.

Question 3

What down payment do DSCR loans require?

Accepted Answer

Expect at least 20–25% down. Lenders treat these as investment properties, so the requirement is higher.

Question 4

Can a self-employed investor use a Bank Statement Loan for a rental?

Accepted Answer

Yes, but DSCR is usually easier. It skips the income verification entirely if the rent supports the payment.

Question 5

Which loan has better rates in Union City?

Accepted Answer

Neither is always cheaper. Rates depend on credit, LTV, and the lender. Rates vary by borrower profile and market conditions.

Bank Statement vs DSCR Loans in Union City, CA