Question 1

Can I refinance from hard money into a DSCR loan?

Accepted Answer

Yes, this is the standard exit strategy. Once renovations finish and the property generates rent, DSCR loans refinance your hard money loan at lower rates.

Question 2

Which loan closes faster in Maywood?

Accepted Answer

Hard money closes in 7-14 days. DSCR loans take 30-45 days because they require full appraisals and rental income verification.

Question 3

Do both loans avoid personal income verification?

Accepted Answer

Correct. DSCR qualifies on rental income only. Hard money qualifies on property value and equity, ignoring your W-2 completely.

Question 4

What down payment do I need for each?

Accepted Answer

DSCR requires 20-25% down. Hard money asks 10-30% depending on deal specifics and your experience level.

Question 5

Which costs more over 12 months?

Accepted Answer

Hard money costs significantly more due to rates near 12% plus points. Use it only when speed or property condition requires it.

DSCR Loans vs Hard Money Loans in Maywood: Which Investor Loan Fits Your Deal?