Question 1

Can I use a DSCR loan on a short-term rental in Mariposa?

Accepted Answer

Yes. Many DSCR lenders accept short-term rental income. Some use Airbnb data or market rent estimates to calculate your ratio.

Question 2

What credit score do I need for a DSCR loan?

Accepted Answer

Most DSCR lenders require a 620 minimum. Better scores get better rates. Rates vary by borrower profile and market conditions.

Question 3

How fast can a hard money loan close?

Accepted Answer

Many hard money lenders close in 5 to 10 business days. Some move faster on straightforward deals with clean title.

Question 4

What happens when my hard money loan term ends?

Accepted Answer

You need a clear exit — sell the property or refinance into permanent financing. No exit plan means you risk default or costly extensions.

Question 5

Can I refinance a hard money loan into a DSCR loan?

Accepted Answer

Yes. This is a common investor strategy. Once the property is stabilized and producing rent, DSCR lenders can pay off the hard money loan.

Question 6

Which loan has lower rates, DSCR or hard money?

Accepted Answer

DSCR rates are typically lower. Hard money carries a premium for speed and flexibility. Rates vary by borrower profile and market conditions.

DSCR Loans vs Hard Money Loans in Mariposa, CA