Question 1

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

Accepted Answer

No. DSCR loans are for investment properties only. For a primary residence, a bank statement loan is the non-QM option.

Question 2

Do bank statement loans require good credit?

Accepted Answer

Yes. Most lenders want a 620 or higher. Better credit gets you better pricing.

Question 3

What DSCR ratio do lenders want in Los Banos?

Accepted Answer

Most lenders want a DSCR of 1.1 or higher. Some allow 1.0, but expect tighter terms.

Question 4

Can I use an LLC for a DSCR loan?

Accepted Answer

Yes. Most DSCR lenders allow LLC vesting. That's one reason investors prefer it for building a portfolio.

Question 5

Which loan closes faster?

Accepted Answer

DSCR loans often close faster. There's no income analysis — just a rent schedule and an appraisal.

Question 6

Do both loans require a down payment?

Accepted Answer

Yes. Expect 20–25% down for DSCR. Bank statement loans for primary homes may allow 10% down depending on the lender.

Bank Statement vs DSCR Loans in Los Banos