Question 1

Can I use a DSCR loan to buy my primary home?

Accepted Answer

No. DSCR loans are investment property only. For a primary residence, conventional is your path.

Question 2

Do DSCR loans require tax returns?

Accepted Answer

Most don't. Lenders focus on the property's rent vs. the mortgage payment. Your personal returns stay out of it.

Question 3

Which loan has a lower down payment?

Accepted Answer

Conventional can go as low as 3% for qualified buyers. DSCR loans typically require 20-25% down.

Question 4

Is my credit score checked for a DSCR loan?

Accepted Answer

Yes. Most DSCR lenders require at least a 620-640 score. It's not income-based, but credit still matters.

Question 5

Can an LLC take out a DSCR loan?

Accepted Answer

Yes — many lenders allow DSCR loans in an LLC name. Conventional loans generally require individual borrower names.

Question 6

Which loan is better for a Calimesa rental property?

Accepted Answer

DSCR if the rent covers the payment and your income is hard to document. Conventional if you qualify and want a lower rate.

Conventional vs DSCR Loans in Calimesa, CA