Question 1

What is a DSCR loan and how does it work?

Accepted Answer

DSCR stands for Debt Service Coverage Ratio. Lenders divide the property's monthly rent by the mortgage payment to see if it qualifies.

Question 2

Can I use Airbnb income to qualify in Nevada City?

Accepted Answer

Some lenders accept short-term rental revenue. Others require long-term leases only. Lender selection matters a lot in this market.

Question 3

What credit score do I need for a DSCR loan?

Accepted Answer

Most DSCR lenders require a 620-660 minimum credit score. Higher scores typically unlock better rates. Rates vary by borrower profile and market conditions.

Question 4

How much do I need to put down?

Accepted Answer

Most DSCR programs require 20-25% down. Some lenders allow less with stronger cash flow or higher credit scores.

Question 5

Do I need to show personal income or tax returns?

Accepted Answer

No. DSCR loans qualify based on the property's income alone. Personal tax returns and pay stubs are not required.

Question 6

Can I get a DSCR loan on a vacation rental property?

Accepted Answer

Yes, but lender rules vary on how they treat seasonal or short-term income. We help match you with lenders that accept your property's rental type.

DSCR Loans in Nevada City, CA — Qualify on Rental Income