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in Citrus Heights, CA
Both loans skip personal income verification. That's where the similarity ends.
Citrus Heights investors use these tools for very different goals. Choosing the wrong one costs time and money.
DSCR loans qualify you based on rental income. If the property cash flows, you can get approved.
These are 30-year products. Rates are fixed or adjustable. They work like a traditional mortgage — just without the income docs.
Hard money is fast and flexible. Lenders care about the asset, not your financials.
Terms are short — usually 6 to 24 months. Rates run higher. These loans are built for flips and quick acquisitions.
Local decision guide
Use this comparison to weigh DSCR Loans and Hard Money Loans through local payment fit, eligibility, documentation, and timing before choosing a path in Citrus Heights.
Both loans skip personal income verification. That's where the similarity ends.
Citrus Heights investors use these tools for very different goals. Choosing the wrong one costs time and money.
DSCR loans qualify you based on rental income. If the property cash flows, you can get approved.
DSCR loans are cheaper long-term. Hard money is more expensive but moves faster.
Hard money lenders fund deals DSCR lenders won't touch — distressed properties, heavy rehab, no stabilized rent history.
Buying a rental in Citrus Heights and holding it? DSCR. The property cash flows and you want a permanent loan.
Flipping a distressed home or need to close fast? Hard money. Refinance into a DSCR loan once it's stabilized.
Not usually. DSCR lenders want a livable, rentable property. Hard money is the right tool for heavy rehab deals.
Hard money can close in 5–10 days. DSCR loans typically take 3–4 weeks.
No. DSCR qualifies on rental income. Hard money qualifies on the asset's value. Neither requires tax returns.
DSCR lenders typically require 620 or higher. Hard money lenders are more flexible — some go lower if equity is strong.
Yes. That's a common BRRRR strategy. Stabilize the property, get a tenant, then refinance into a long-term DSCR loan.
DSCR rates run lower than hard money. Rates vary by borrower profile and market conditions.