Question 1

Can I use a bank statement loan for a Foster City rental property?

Accepted Answer

Yes, bank statement loans allow investment properties. But if you don't want to verify income at all, DSCR is simpler and faster for rental purchases.

Question 2

What rent amount do I need for a DSCR loan in Foster City?

Accepted Answer

Most lenders want monthly rent equal to or higher than your total mortgage payment. A 1.0 DSCR means rent exactly covers the payment.

Question 3

Do bank statement loans require business tax returns?

Accepted Answer

No. The entire point is replacing tax returns with bank statements. You provide 12-24 months of deposits instead of showing tax documents.

Question 4

Can W-2 employees use DSCR loans in Foster City?

Accepted Answer

Yes. DSCR doesn't check employment or income. Anyone buying rental property qualifies based on rent, not personal earnings.

Question 5

Which loan has better rates right now?

Accepted Answer

Rates vary by borrower profile and market conditions. Both run 1-2.5% above conventional, with specific pricing depending on credit, down payment, and property details.

Question 6

How long does underwriting take for each loan type?

Accepted Answer

Bank statement loans close in 21-30 days with complete statements. DSCR loans close slightly faster since there's no income calculation required.

Bank Statement Loans vs DSCR Loans in Foster City: Which Non-QM Option Fits Your Deal?