Question 1

Can I use a DSCR loan to buy a home I'll live in?

Accepted Answer

No. DSCR loans are for investment properties only. For a primary residence in Needles, conventional is your path.

Question 2

What credit score do I need for a DSCR loan?

Accepted Answer

Most DSCR lenders want a 680 or higher. Conventional loans can go as low as 620 with the right profile.

Question 3

Do DSCR loans require tax returns?

Accepted Answer

No tax returns needed. Lenders look at the property's rental income, not your personal financials.

Question 4

Which loan has a lower interest rate?

Accepted Answer

Conventional loans typically carry lower rates. DSCR rates are higher to offset the reduced income documentation. Rates vary by borrower profile and market conditions.

Question 5

Can I use a conventional loan for a rental property?

Accepted Answer

Yes, but investment property pricing adds to your rate and down payment. DSCR is often cleaner for pure rentals.

Conventional vs DSCR Loans in Needles, CA