Question 1

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

Accepted Answer

No. DSCR loans are for investment properties only. Use a bank statement loan if you're buying a home to live in.

Question 2

Do bank statement loans require good credit?

Accepted Answer

Most lenders want at least a 620 score. Stronger credit gets you better pricing on these non-QM products.

Question 3

What DSCR ratio do lenders require?

Accepted Answer

Most lenders require a DSCR of 1.0 or higher. That means rent must at least equal the monthly mortgage payment.

Question 4

Which loan has lower rates?

Accepted Answer

Both carry higher rates than conventional loans. Rates vary by borrower profile and market conditions.

Question 5

Can I use business bank statements for a bank statement loan?

Accepted Answer

Yes. Business or personal accounts both work. Lenders typically apply an expense factor to business deposits.

Question 6

Can an LLC get a DSCR loan in Fort Jones?

Accepted Answer

Yes. Many DSCR lenders allow LLC vesting. It's a common structure for rural investment properties.

Bank Statement vs DSCR Loans in Fort Jones, CA