Question 1

What DSCR do I need to qualify in Sebastopol?

Accepted Answer

Most lenders require 1.0 minimum. That means monthly rent covers the full monthly payment including taxes and insurance. Higher ratios improve pricing.

Question 2

Can I use projected rent or does the property need a tenant?

Accepted Answer

You can use market rent from the appraisal. An existing lease works too. Lenders won't use your hopeful pro forma without appraiser support.

Question 3

Do DSCR loans work for Sebastopol vacation rentals?

Accepted Answer

A few lenders allow it with 12-24 months of booking history. Most require traditional long-term leases. Short-term rental DSCR is niche.

Question 4

How long does DSCR approval take in Sonoma County?

Accepted Answer

Underwriting runs 7-10 days. Appraisals add another 10-14 days in Sebastopol. Total close in 30 days if you respond fast.

Question 5

What if my Sebastopol property has fire risk?

Accepted Answer

Some lenders exclude high-risk zones. Others require proof of fire insurance before approval. Get a FAIR plan quote early if standard carriers decline.

Question 6

Can I refinance an existing Sebastopol rental with DSCR?

Accepted Answer

Yes. You can pull cash out if DSCR works at the new loan amount. Most lenders cap cash-out at 75% LTV for investment properties.

DSCR Loans in Sebastopol: Qualify Investors on Rental Income Alone