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Monte Sereno sits in the heart of Santa Clara County, where OpenAI's new 450,000-square-foot Mountain View office lease signals sustained tech-sector growth.
DSCR financing lets you borrow based on what the property earns, not your W-2s or tax returns. That matters in Monte Sereno, where rental income from a single unit often exceeds the county's median household income of $159,674 annually.
620
Minimum FICO
20–25%
Typical Down Payment
1.0
DSCR Ratio Floor
10–15 business days
Underwriting Timeline
+0.5–1.0%
Rate Premium vs. Conventional
DSCR Loans in Monte Sereno
DSCR loans require a minimum 620 FICO score and typically 20% to 25% down. The property's net operating income (NOI) must hit a DSCR ratio of 1.0 or higher — meaning monthly rents cover the loan payment.
In Monte Sereno's market, a rental property generating $5,000 monthly in net income can support a loan payment of $5,000 or less. The county's median household income of $159,674 is less relevant here than the property's actual earnings.
Local decision guide
Use this guide to connect dscr loans eligibility, lender expectations, and local market factors before comparing payment options in Monte Sereno.
Monte Sereno sits in the heart of Santa Clara County, where OpenAI's new 450,000-square-foot Mountain View office lease signals sustained tech-sector growth.
DSCR financing lets you borrow based on what the property earns, not your W-2s or tax returns. That matters in Monte Sereno, where rental income from a single unit often exceeds the county's median household income of $159,674 annually.
DSCR loans require a minimum 620 FICO score and typically 20% to 25% down. The property's net operating income (NOI) must hit a DSCR ratio of 1.0 or higher — meaning monthly rents cover the loan payment.
DSCR lending in California has grown sharply as investors seek alternatives to traditional income-based qualification. Correspondent lenders and portfolio banks dominate this space because DSCR loans don't fit Fannie Mae or Freddie Mac guidelines.
Underwriting timelines run 10 to 15 business days once you submit the property's last two years of tax returns and rent rolls. Appraisals are required and must support the income claim.
DSCR makes sense in Monte Sereno when you own rental property and your personal income is irregular or low relative to the property's earnings. If you're a W-2 employee with a day job and one rental unit, conventional financing is cheaper and faster.
The county's median household income of $159,674 is irrelevant to DSCR qualification — what matters is the property's NOI. A single-family rental generating $4,500 monthly in net income qualifies for a $450,000 loan at 1.0 DSCR, regardless of your personal...
Conventional loans require 20% down and full income documentation; DSCR requires 20–25% down but ignores your W-2s entirely. If you're a salaried employee buying one rental, conventional is simpler and cheaper.
The trade-off is rate: DSCR runs 0.5% to 1.0% higher than conforming conventional because the lender bets on the property, not you. But that premium often pays for itself when you avoid refinancing to pull equity later.
OpenAI's new Mountain View office complex signals sustained tech-sector expansion across the county. That growth translates to strong rental demand in Monte Sereno and nearby areas.
The Silicon Valley Lunar New Year celebration in January drew over 200 vendors and a full parade, reflecting the county's cultural diversity and economic vitality. That kind of population density and spending power supports rental property values.
No. DSCR qualification relies entirely on the property's net operating income. You submit the property's lease and last two years of tax returns, not your personal W-2s or 1040. That's the core advantage for investors with irregular income.
Typically 20% to 25% down. Some lenders go as low as 15% with strong DSCR ratios and reserves. The exact amount depends on the property's NOI and your credit score. Call for specifics on your property.
The loan amount is capped by the property's net operating income divided by the DSCR ratio. A property with $5,000 monthly NOI and a 1.0 DSCR ratio supports a loan payment of $5,000 or less. Work backward from the payment to find your loan amount.
Yes. DSCR ignores your W-2 income entirely, so your day job doesn't matter. The property's rental income is all the lender cares about. If the property's NOI supports the payment, you qualify — no matter what you earn at work.
Typically 10 to 15 business days once you submit the property's lease, last two years of tax returns, and rent rolls. An appraisal is required and must support the income claim. Timelines depend on how quickly you provide documents.