Question 1

Can I use a DSCR loan for a short-term rental in Healdsburg?

Accepted Answer

Yes. Many lenders will use projected or actual STR income. You'll need documentation of rental history or a market rent analysis.

Question 2

Do Bank Statement loans work for second homes?

Accepted Answer

Yes. Self-employed borrowers can use bank statements to buy a second home — not just investment properties. Program terms vary by lender.

Question 3

What credit score do I need for either loan?

Accepted Answer

Most non-QM lenders want at least 680. Some DSCR programs allow 660, but the rate increases meaningfully below 700.

Question 4

Which loan has a lower down payment requirement?

Accepted Answer

Both typically require 20 to 25 percent down. DSCR lenders may require more for higher-risk properties or lower coverage ratios.

Question 5

Can I use both loans at the same time?

Accepted Answer

Yes. A self-employed borrower could use a Bank Statement loan for a primary home and a DSCR loan for a rental. They underwrite separately.

Question 6

Which loan closes faster?

Accepted Answer

DSCR loans often close faster since there's less personal income documentation to verify. Bank Statement loans require lender review of 12–24 months of statements.

Bank Statement vs DSCR Loans in Healdsburg