Question 1

Can I use a DSCR loan on a vacant property?

Accepted Answer

Usually not. DSCR lenders need documented rent income or a signed lease. A vacant property won't qualify — use hard money first, then refinance.

Question 2

How fast does hard money close?

Accepted Answer

Many hard money lenders close in 5 to 10 business days. That speed is their main advantage over conventional or DSCR financing.

Question 3

Do DSCR loans require a minimum credit score?

Accepted Answer

Most DSCR lenders require at least a 620 credit score. Some go lower, but rates get significantly worse below that threshold.

Question 4

Can I refinance hard money into a DSCR loan?

Accepted Answer

Yes — and that's a common strategy. Acquire or rehab with hard money, stabilize the rent, then refinance into a long-term DSCR loan.

Question 5

Which loan has higher interest rates?

Accepted Answer

Hard money rates are higher. Rates vary by borrower profile and market conditions, but hard money consistently costs more than DSCR by a wide margin.

Question 6

Are both loans available in El Dorado County?

Accepted Answer

Yes. We work with lenders who fund both DSCR and hard money loans in Placerville and throughout El Dorado County.

DSCR vs Hard Money Loans in Placerville, CA