Question 1

Can I use a DSCR loan to buy a property in Loma Linda?

Accepted Answer

Yes, DSCR loans work for investment properties in Loma Linda. The property must be non-owner-occupied and generate rental income.

Question 2

What credit score do I need for a conventional loan?

Accepted Answer

Most conventional lenders require a 620 minimum. Higher scores get better rates.

Question 3

Do DSCR loans require tax returns?

Accepted Answer

No. DSCR lenders skip personal income docs. They qualify you based on the property's rent versus its debt payment.

Question 4

Which loan has a lower interest rate?

Accepted Answer

Conventional loans typically carry lower rates. DSCR loans price higher because they carry more lender risk. Rates vary by borrower profile and market conditions.

Question 5

Can I buy under an LLC with either loan?

Accepted Answer

DSCR lenders allow LLC purchases — most conventional lenders do not. This matters for investors protecting assets.

Question 6

What down payment does a DSCR loan require?

Accepted Answer

Most DSCR lenders require 20%-25% down. Expect to bring more cash to closing than a conventional purchase.

Conventional vs DSCR Loans in Loma Linda, CA