Loading
in Imperial Beach, CA
Imperial Beach buyers choosing between conventional and DSCR loans face very different qualification paths. Conventional loans are the standard agency product, while DSCR loans serve self-employed and business-owner borrowers.
San Diego County just completed its biggest year of low-income housing construction. The 2026 conforming limit in Imperial Beach is $1,104,000.
Conventional 30-year fixed at 6.25% offers predictable monthly payments. At 80% LTV, PMI cancels automatically at 78% LTV under the Homeowners Protection Act.
Conventional loans require 20% down to avoid PMI entirely. With 5% to 15% down, PMI applies but cancels once you hit 80% LTV.
DSCR loans serve self-employed borrowers, business owners, and 1099 contractors. The lender qualifies you on business cash flow, not personal income.
DSCR loans typically require 20% to 25% down and carry rates above conventional. Qualification focuses on your business's profit and loss statement or rental property cash flow.
Conventional loans live on W-2 income and credit scores. DSCR loans live on business cash flow and tax returns.
Down payment is the biggest structural difference. Conventional at 80% LTV carries no PMI, making it cheaper long-term.
Pick conventional if you're a W-2 employee with stable income. You'll qualify faster, pay a lower rate, and avoid PMI at 80% LTV.
Choose DSCR if you own a business or work 1099. Conventional underwriting will reject you because your income doesn't fit the W-2 box.
$4,618 for principal and interest only. This assumes 80% LTV, 740 FICO, and a 30-year term as of June 13, 2026.
Yes. You can put down 5% to 15% and carry PMI. At 20% down, PMI disappears entirely.
Yes. DSCR loans are designed for self-employed borrowers and business owners. The lender reviews your business tax returns instead of W-2 paystubs.
Conventional typically closes in 30–45 days with prepared W-2 documentation. DSCR takes 45–60 days because the lender must analyze business tax returns more thoroughly.
740 is typical for the best rates. Some lenders go as low as 620, but expect higher rates below 700.