Question 1

Can I use a bank statement loan for a rental property in Mariposa?

Accepted Answer

Yes, bank statement loans work for investment properties. You'll typically need 20-25% down for a rental versus 15% for a primary home.

Question 2

Do DSCR loans require higher credit scores than bank statement loans?

Accepted Answer

Both typically start at 620 minimum credit. Rates improve significantly above 680 for either loan type.

Question 3

Which loan has better interest rates?

Accepted Answer

Rates vary by borrower profile and market conditions. DSCR rates often run slightly higher due to the zero income verification requirement.

Question 4

Can I avoid showing tax returns with both options?

Accepted Answer

Yes, neither loan requires tax returns. Bank statement needs 12-24 months of deposits; DSCR needs a lease or rental appraisal showing income.

Question 5

What if my rental property DSCR is below 1.0?

Accepted Answer

Some lenders approve DSCR as low as 0.75 with larger down payments of 30-35%. Lower ratios mean higher rates and stricter credit requirements.

Bank Statement vs DSCR Loans in Mariposa: Which Non-QM Option Works for You?