Question 1

What DSCR ratio do I need to qualify in Pacific Grove?

Accepted Answer

Most lenders want a DSCR of 1.1 or higher. Some lenders allow 1.0, but expect a higher rate or larger down payment.

Question 2

Can I use Airbnb income to qualify for a DSCR loan?

Accepted Answer

Yes, but lenders differ on how they calculate it. Some use a market rent appraisal. Others require 12 months of documented platform income.

Question 3

Do I need to show tax returns for a DSCR loan?

Accepted Answer

No. DSCR loans don't use personal income verification. The property's rent-to-debt ratio is what qualifies you.

Question 4

Can I hold the property in an LLC?

Accepted Answer

Yes. Most DSCR lenders allow LLC vesting. It's one reason investors prefer this product for building a portfolio.

Question 5

How much do I need to put down on a Pacific Grove investment property?

Accepted Answer

Plan for 20-25% down. Some lenders require more depending on property type, credit score, or DSCR ratio.

Question 6

Are DSCR loan rates higher than conventional rates?

Accepted Answer

Yes, typically. DSCR is a non-QM product and priced accordingly. Rates vary by borrower profile and market conditions.

DSCR Loans in Pacific Grove: Finance Investment Property on Rental Income