Question 1

Can I use a DSCR loan to buy my primary home in Taft?

Accepted Answer

No. DSCR loans are for investment properties only. Use conventional financing for a home you plan to occupy.

Question 2

What credit score do I need for a DSCR loan?

Accepted Answer

Most DSCR lenders in our network require a 660-680 minimum. A higher score gets you better pricing.

Question 3

How much do I need to put down on a conventional loan?

Accepted Answer

As little as 3% on a primary residence. Investment properties require at least 15-20% down.

Question 4

What DSCR ratio do lenders actually want to see?

Accepted Answer

Most lenders want 1.0 or above. A ratio of 1.25+ gets you better rate tiers and easier approval.

Question 5

Does my self-employment income hurt me on a conventional loan?

Accepted Answer

It can, if your tax returns show heavy write-offs. DSCR sidesteps that problem for rental deals entirely.

Question 6

Can I have both a conventional and a DSCR loan at the same time?

Accepted Answer

Yes. Many investors use conventional for their home and DSCR for rental properties. They operate independently.

Conventional vs DSCR Loans in Taft, CA