Question 1

Can I use a DSCR loan on a Woodside home I plan to live in?

Accepted Answer

No. DSCR loans require the property to be rented to a third party. Owner-occupied homes need conventional financing.

Question 2

Which loan type gets better rates in Woodside?

Accepted Answer

Conventional loans price 0.5-1% lower than DSCR. Rates vary by borrower profile and market conditions.

Question 3

Do DSCR loans require tax returns?

Accepted Answer

No. DSCR lenders qualify you based on the property's rent, not your personal income or tax returns.

Question 4

Can I put less than 20% down on a conventional loan?

Accepted Answer

Yes. Conventional loans allow 3% down for owner-occupied homes, though you'll pay PMI until you reach 20% equity.

Question 5

What credit score do I need for each loan type?

Accepted Answer

Conventional loans start at 620 credit. DSCR loans typically require 660+ for approval.

Question 6

Can I buy a second home in Woodside with a DSCR loan?

Accepted Answer

Only if you rent it out. Second homes you use yourself need conventional or jumbo financing, not DSCR.

Conventional vs DSCR Loans in Woodside: Choosing the Right Financing for Your Property