Question 1

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

Accepted Answer

No, DSCR Loans only finance investment properties. If you plan to occupy the property, even partially, you need a Bank Statement Loan or another program.

Question 2

Which program has easier qualification in Millbrae?

Accepted Answer

DSCR Loans typically have simpler documentation since they ignore personal finances. Bank Statement Loans require proving self-employment and consistent deposits over 12-24 months.

Question 3

Do both programs work for multi-unit properties?

Accepted Answer

Yes, both can finance multi-unit investment properties in San Mateo County. Bank Statement Loans also work for owner-occupied duplexes, triplexes, and fourplexes.

Question 4

What down payment do these non-QM loans require?

Accepted Answer

Both programs typically require 15-25% down, varying by property type and borrower profile. Investment properties generally need larger down payments than owner-occupied homes.

Question 5

Can I use both programs to build a rental portfolio?

Accepted Answer

Yes, many Millbrae investors use Bank Statement Loans early in their journey, then switch to DSCR Loans as their portfolio grows and they want simpler qualification.

Bank Statement vs DSCR Loans in Millbrae: Which Non-QM Option Fits Your Investment Strategy?