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Bakersfield has long attracted real estate investors. Rents are strong relative to purchase prices, and that ratio is exactly what DSCR lenders care about.
DSCR stands for Debt Service Coverage Ratio. Lenders divide the property's monthly rent by the monthly mortgage payment. A ratio above 1.0 means the rent covers the debt.
620–660 typical
Min Credit Score
1.0–1.25
Min DSCR Ratio
20–25%
Down Payment
30-year fixed available
Loan Term
None (property-based)
Income Docs Needed
DSCR Loans in Bakersfield
No tax returns. No pay stubs. Lenders look at the property's income, not yours. That makes DSCR the go-to loan for self-employed investors and landlords with complex returns.
Most lenders want a DSCR of at least 1.0 to 1.25. Credit minimums typically start at 620 to 660, and down payments usually run 20 to 25 percent. Rates vary by borrower profile and market conditions.
Local decision guide
Use this guide to connect dscr loans eligibility, lender expectations, and local market factors before comparing payment options in Bakersfield.
Bakersfield has long attracted real estate investors. Rents are strong relative to purchase prices, and that ratio is exactly what DSCR lenders care about.
DSCR stands for Debt Service Coverage Ratio. Lenders divide the property's monthly rent by the monthly mortgage payment. A ratio above 1.0 means the rent covers the debt.
No tax returns. No pay stubs. Lenders look at the property's income, not yours. That makes DSCR the go-to loan for self-employed investors and landlords with complex returns.
DSCR loans are non-QM products. That means they don't follow Fannie Mae or Freddie Mac rules. You won't find these at your local bank's branch window.
We work with 200+ wholesale lenders that offer DSCR programs. Guidelines vary significantly between them — minimum DSCR, reserve requirements, and max loan sizes all differ.
The most common mistake investors make: they pick a property first, then find out the rent doesn't cover the payment. Run the DSCR math before you make an offer.
Short-term rental income is trickier. Some lenders accept Airbnb income with market rent data; others don't. In Bakersfield, long-term tenants are more common anyway — that actually helps you qualify more cleanly.
A conventional investor loan uses your personal debt-to-income ratio. If you own several rentals already, your DTI looks ugly on paper. DSCR ignores that entirely.
Hard money loans close faster but carry higher rates and short terms. DSCR loans are still non-QM but offer 30-year fixed options. For a buy-and-hold investor, DSCR wins on structure.
Kern County's rental market is driven partly by oil industry workers, agricultural employers, and logistics jobs. Demand for single-family rentals stays consistent across economic cycles.
Properties near major employers and transit corridors tend to lease quickly. Vacancy risk is lower than in more speculative markets — and lenders notice that when they appraise rental income.
No. DSCR loans qualify based on the rental property's income. Your personal tax returns are not part of the file.
Most want 1.0 to 1.25 at minimum. A ratio of 1.25 means rent covers 125% of the monthly mortgage payment.
Some lenders allow it using market rent data. Guidelines vary, so you need to confirm before you close on the property.
Expect 20 to 25 percent down. Some lenders allow less with higher reserves or a stronger DSCR ratio.
Yes. Because DSCR ignores personal income, landlords use it to scale portfolios beyond what conventional financing allows.
Lenders use either the actual signed lease or an appraiser's market rent estimate — whichever the lender's program accepts.