Question 1

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

Accepted Answer

Yes. Bank statement loans work for both primary homes and investment properties. DSCR only works for rentals.

Question 2

Which loan has lower rates?

Accepted Answer

DSCR rates run 0.25-0.5% lower on average. Rates vary by borrower profile and market conditions.

Question 3

Do both loans require tax returns?

Accepted Answer

No. Neither loan uses tax returns for income verification. That's why self-employed borrowers choose them.

Question 4

What credit score do I need for each?

Accepted Answer

Both require 620 minimum. Higher scores unlock better rates and lower down payment requirements.

Question 5

Can I use rental income from another property to qualify for a bank statement loan?

Accepted Answer

No. Bank statement loans use your business deposits. Use DSCR if you want to qualify on rental income alone.

Bank Statement vs DSCR Loans: Which Non-QM Works for Soledad Investors?