Question 1

Can I use a DSCR loan for a primary residence?

Accepted Answer

No. DSCR is for investment properties only. Primary homes require conventional or government-backed financing.

Question 2

Do DSCR loans require tax returns?

Accepted Answer

No. Lenders qualify you on rental income, not personal income. No W-2s or tax returns needed.

Question 3

What credit score do I need for a conventional loan?

Accepted Answer

Most lenders require 620 minimum. Better scores get better rates — 740+ puts you in the top pricing tier.

Question 4

Can an LLC get a conventional loan?

Accepted Answer

No. Conventional loans require individual borrowers. LLCs need DSCR or commercial financing.

Question 5

Which loan has the lower interest rate?

Accepted Answer

Conventional rates are typically lower. DSCR loans carry a rate premium for the flexible qualifying structure. Rates vary by borrower profile and market conditions.

Question 6

How many DSCR loans can I have at once?

Accepted Answer

Unlike conventional, DSCR has no hard cap on property count. Each property stands on its own cash flow.

Conventional vs DSCR Loans in Chowchilla, CA