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in Kingsburg, CA
Kingsburg's investor market runs on two financing engines: DSCR loans for rental income plays and hard money for fix-and-flip deals. Both skip traditional income verification, but they serve completely different investment strategies.
DSCR loans underwrite your property's monthly rent against the mortgage payment. Hard money lenders care about one thing: the asset value and your exit plan within 6-12 months.
DSCR loans qualify you on rental income alone. If the property generates enough rent to cover the mortgage payment by 1.0x to 1.25x, you're approved regardless of your tax returns or employment.
Rates typically run 1-2% above conventional loans with 20-25% down. These are 30-year fixed mortgages built for investors who plan to hold properties and collect rent, not flip quickly.
Hard money loans fund in days, not weeks. Lenders evaluate the property's after-repair value and your renovation budget, then lend 65-75% of ARV with minimal documentation.
Expect 9-14% interest rates with 2-4 points upfront. Terms run 6-12 months because these loans exist to acquire and renovate properties fast, then refinance or sell.
Local decision guide
Use this comparison to weigh DSCR Loans and Hard Money Loans through local payment fit, eligibility, documentation, and timing before choosing a path in Kingsburg.
Kingsburg's investor market runs on two financing engines: DSCR loans for rental income plays and hard money for fix-and-flip deals. Both skip traditional income verification, but they serve completely different investment strategies.
DSCR loans underwrite your property's monthly rent against the mortgage payment. Hard money lenders care about one thing: the asset value and your exit plan within 6-12 months.
DSCR loans qualify you on rental income alone. If the property generates enough rent to cover the mortgage payment by 1.0x to 1.25x, you're approved regardless of your tax returns or employment.
DSCR loans cost half what hard money charges on interest, but take 3-4 weeks to close. Hard money closes in a week but burns cash monthly at double-digit rates.
DSCR requires the property to cash flow today. Hard money doesn't care about current condition or rent—only what it's worth after you renovate. Different tools for different deals.
Use DSCR when buying turnkey rentals or stabilized properties in Kingsburg. If the property generates rent now and you're holding 3+ years, DSCR saves thousands in interest versus hard money.
Use hard money when you need to close fast on a fixer or beat competing offers. Kingsburg deals requiring renovation or properties that won't qualify for DSCR due to condition need hard money first, then refinance to DSCR after stabilization.
No. DSCR loans require the property to be rent-ready and generating income at closing. Use hard money for renovations, then refinance to DSCR once stabilized.
Hard money closes in 5-10 days with minimal documentation. DSCR loans take 3-4 weeks due to appraisal and rent analysis requirements.
Yes. DSCR qualifies on property rent coverage and hard money on asset value. Neither requires tax returns or W-2s.
DSCR typically requires 20-25% down. Hard money varies but expect 25-35% down based on the after-repair value.
No. Hard money loans max out at 12-24 months. They're designed as bridge financing, not permanent holds.