Question 1

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

Accepted Answer

No. DSCR loans are for investment properties only. For a primary residence, a bank statement loan is the right non-QM option.

Question 2

Which loan has stricter credit requirements?

Accepted Answer

Both are Non-QM, but DSCR loans often allow slightly lower scores. Requirements vary by lender — we shop across 200+ wholesale lenders to find the best fit.

Question 3

Do I need two years of self-employment for a bank statement loan?

Accepted Answer

Most lenders want at least 12 to 24 months of self-employment history. Some require a CPA letter confirming your business is active.

Question 4

Can an LLC take out a DSCR loan in Vallejo?

Accepted Answer

Yes. Many DSCR lenders allow LLC vesting, which is useful for investors who hold rentals in a business entity.

Question 5

What down payment do these loans require?

Accepted Answer

Expect 10% to 20% down for bank statement loans. DSCR loans typically start at 20% to 25% down for investment properties.

Question 6

Which loan closes faster?

Accepted Answer

DSCR loans often close faster because underwriters focus on the property, not personal financials. Less documentation means fewer back-and-forth requests.

Bank Statement vs DSCR Loans in Vallejo, CA