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Aliso Viejo sits in south Orange County — a tight rental market with strong tenant demand and limited inventory.
That combination makes it attractive for investors. DSCR loans let the property's rent roll qualify the deal, not your tax returns.
620–660
Min Credit Score
1.0 (some at 0.75)
Min DSCR Ratio
None
Income Docs Required
20–25%
Down Payment
Up to 30 years fixed
Loan Term
DSCR Loans in Aliso Viejo
DSCR stands for Debt Service Coverage Ratio. Lenders divide the property's monthly rent by its mortgage payment. A ratio of 1.0 means rent covers the payment exactly.
Most lenders want a DSCR of 1.0 or higher. Some go down to 0.75 with a higher rate. Minimum credit score is typically 620 to 660.
Local decision guide
Use this guide to connect dscr loans eligibility, lender expectations, and local market factors before comparing payment options in Aliso Viejo.
Aliso Viejo sits in south Orange County — a tight rental market with strong tenant demand and limited inventory.
That combination makes it attractive for investors. DSCR loans let the property's rent roll qualify the deal, not your tax returns.
DSCR stands for Debt Service Coverage Ratio. Lenders divide the property's monthly rent by its mortgage payment. A ratio of 1.0 means rent covers the payment exactly.
DSCR is a non-QM product. That means retail banks rarely offer it. You need a broker with access to wholesale non-QM lenders.
We work with 200+ lenders, and a solid chunk specialize in investor products. Rate and DSCR floor vary significantly across them.
The biggest mistake investors make is assuming the appraiser's rent schedule is enough. Get your own rental comps before submitting.
LLC vesting is fully allowed on DSCR. If you're building a portfolio, structure the title correctly from day one — fixing it later costs money.
A conventional investment loan requires two years of tax returns and caps you at 10 financed properties. DSCR has no income docs and no portfolio cap.
Hard money is faster but short-term. DSCR gives you a 30-year fixed on a rental with no W-2 or pay stub required. That's a real structural difference.
Aliso Viejo's condo market is worth paying attention to. Some condo projects hit non-warrantable status, which kills conventional loans. DSCR lenders are more flexible there.
Short-term rental regulations vary by city in OC. Confirm Aliso Viejo's STR rules before using projected Airbnb income in your DSCR calculation.
No personal income verification required. Lenders qualify the loan based on the property's rental income only.
Yes, including non-warrantable condos. DSCR lenders often approve projects that conventional lenders reject.
Most lenders want 1.0 or above. Some allow below 1.0, but you'll pay a higher rate. Rates vary by borrower profile and market conditions.
Yes. Most DSCR lenders allow LLC vesting with no issue. It's one of the reasons investors prefer this product for portfolio building.
Some lenders accept short-term rental income using platforms like Airbnb. You'll typically need 12 months of rental history to use it.
Hard money is short-term bridge financing. DSCR gives you a long-term loan, often 30 years fixed, with no income documentation needed.