Question 1

Can I use a DSCR loan on a property I live in?

Accepted Answer

No. DSCR loans are for non-owner-occupied investment properties only. If you plan to live there, use a bank statement or conventional loan.

Question 2

Do bank statement loans work for rental property purchases?

Accepted Answer

Yes. Some investors use bank statement loans on rentals, especially if the property's rent alone wouldn't meet DSCR minimums.

Question 3

What credit score do I need for either loan?

Accepted Answer

Most lenders want 660–700 for both programs. Some DSCR lenders allow lower scores with more reserves or a larger down payment.

Question 4

Which loan has a lower down payment requirement?

Accepted Answer

Bank statement loans typically start at 10% down for primary residences. DSCR loans generally require 20–25% for investment properties.

Question 5

Are rates higher on these loans than conventional?

Accepted Answer

Yes. Both are non-QM, so rates run higher than conventional. Rates vary by borrower profile and market conditions.

Question 6

Can I have both loan types at the same time?

Accepted Answer

Yes. Many Upland investors carry a DSCR loan on a rental and a bank statement loan on their primary home simultaneously.

Bank Statement vs DSCR Loans in Upland, CA