Question 1

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

Accepted Answer

No. DSCR loans are investment property only. For a primary residence in Moreno Valley, you need conventional or a government-backed loan.

Question 2

What credit score do I need for a DSCR loan?

Accepted Answer

Most DSCR lenders want 660 or higher. Some go down to 640, but pricing gets worse fast below 700.

Question 3

Do conventional loans work for rental properties?

Accepted Answer

Yes, up to a point. Fannie Mae allows conventional financing on 1-4 unit investment properties, but rental income counting toward qualification has limits.

Question 4

Which loan has a lower down payment?

Accepted Answer

Conventional wins here. You can put down as little as 3% on a primary home. DSCR loans typically require 20-25% down.

Question 5

Is a DSCR loan harder to get than conventional?

Accepted Answer

Not necessarily harder — just different. If the property cash-flows well, DSCR can actually be faster. Personal income complexity slows conventional loans down.

Question 6

Are DSCR loan rates much higher than conventional?

Accepted Answer

Expect DSCR rates to run meaningfully higher. Rates vary by borrower profile and market conditions, but the non-QM premium is real.

Conventional vs DSCR Loans in Moreno Valley