Question 1

Can I refinance hard money into DSCR later?

Accepted Answer

Yes, that's the standard path. Flip with hard money, then refinance to DSCR once the property rents and appraises at the new value.

Question 2

Which loan closes faster in Parlier?

Accepted Answer

Hard money closes in 5-10 days. DSCR takes 25-35 days because lenders verify rent comps and calculate debt coverage ratios.

Question 3

Do both loans require an appraisal?

Accepted Answer

Yes. Hard money appraises current value and after-repair value. DSCR appraises current value and verifies market rent through comps.

Question 4

Which loan costs less over 12 months?

Accepted Answer

DSCR costs far less. Hard money at 12% plus points runs nearly double what DSCR charges at 7-9% with minimal fees.

Question 5

Can I use DSCR for a property that needs work?

Accepted Answer

Only minor cosmetic work. If the property can't rent immediately, lenders won't approve DSCR because there's no income to verify.

DSCR Loans vs Hard Money Loans in Parlier: Which Fits Your Investment Strategy?