Question 1

Can I use a DSCR loan to buy my primary residence?

Accepted Answer

No. DSCR loans are for investment properties only. For a primary home, Bank Statement is the Non-QM option.

Question 2

Do Bank Statement Loans work for LLCs?

Accepted Answer

Some lenders accept business bank statements from an LLC. Guidelines vary — not every lender handles this the same way.

Question 3

Which loan has the lower down payment requirement?

Accepted Answer

Both typically require 20% or more down. DSCR loans sometimes require more depending on the property type and DSCR ratio.

Question 4

Can a self-employed investor use either loan?

Accepted Answer

Yes. A self-employed investor could use DSCR for rentals and Bank Statement for a personal home purchase. Many clients use both.

Question 5

Are these loans available for properties in Milpitas specifically?

Accepted Answer

Yes. Both Non-QM products are available throughout Santa Clara County, including Milpitas. Lender overlays still apply.

Question 6

Which loan closes faster on average?

Accepted Answer

DSCR loans can move quickly since there's no personal income review. Bank Statement loans add processing time for deposit analysis.

Bank Statement vs DSCR Loans in Milpitas