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in Roseville, CA
Roseville buyers face a clear fork: conventional loans for homes you'll live in, DSCR loans for rental property investments. The gap between these programs is wide — different underwriting, different down payments, different rates.
Most Roseville owner-occupants default to conventional because it delivers lower rates and easier qualification. Investors who can't show W-2 income or already own multiple rentals lean on DSCR programs that ignore tax returns entirely.
Conventional loans dominate Roseville's owner-occupant market because they're backed by Fannie Mae and Freddie Mac. Rates stay competitive, down payments start at 3%, and you can finance up to the conforming limit without jumbo pricing.
You'll prove income with W-2s or tax returns. Lenders verify employment, check DTI ratios, and expect 620+ credit for approval. The tradeoff for lower rates is full income documentation and stricter qualifying standards.
DSCR loans ignore your personal income completely. Lenders qualify the property based on rental cash flow — if the rent covers the mortgage payment by a sufficient margin, you're approved. No W-2s, no tax returns, no DTI calculations.
This works for Roseville investors buying single-family rentals or multi-units. Expect 20-25% down minimums, higher rates than conventional, and a DSCR ratio above 1.0. The rental income does all the talking.
The fundamental split is occupancy intent. Conventional loans require you to live in the property as your primary residence or declare it as a second home or investment. DSCR loans are investment-only — no owner occupancy allowed.
Conventional uses your income and employment to qualify. DSCR uses the property's rental income. Conventional offers 3% down options and better pricing. DSCR demands 20-25% down and charges premium rates for the no-doc convenience.
If you're buying a Roseville home to live in, conventional wins every time. Lower rates, smaller down payments, easier approval for W-2 earners. You'll save thousands over the loan term compared to investor financing.
Choose DSCR if you're acquiring rental property and can't document stable income — self-employed investors, 1099 contractors, or portfolio holders with tax write-offs that tank their stated income. The rental property carries itself without your personal finances in the picture.
No. DSCR loans are investment-property only. If you plan to occupy the home, you need a conventional loan or another owner-occupant program.
Conventional loans always price lower than DSCR for qualified borrowers. DSCR rates run 1-2% higher due to the no-income-verification structure.
Not for primary residences. Conventional loans qualify based on your personal income and employment, not the property's rental potential.
Conventional allows 3% down for owner-occupants. DSCR requires 20-25% down on all investment properties in Roseville.
Yes. DSCR programs don't count against conventional loan limits, so investors can scale portfolios without hitting Fannie/Freddie caps.