Question 1

Can I use a bank statement loan for a rental property in Patterson?

Accepted Answer

Yes, bank statement loans work for investment properties. You'll need 12-24 months of deposits and typically 20-25% down for a rental.

Question 2

Does DSCR require proof of my self-employment income?

Accepted Answer

No. DSCR loans qualify on the property's rent, not your personal income. You won't submit tax returns or bank statements for income verification.

Question 3

Which loan has lower rates in Patterson?

Accepted Answer

Rates are similar, typically 1-2 points above conventional. Your credit score, down payment, and property strength affect pricing more than loan type.

Question 4

Can I combine bank statements and rental income to qualify?

Accepted Answer

Not in a single loan program. Pick one: bank statements prove your income, or DSCR uses the property's income. You can't blend them.

Question 5

Do both loans allow cash-out refinancing?

Accepted Answer

Yes. Bank statement loans allow cash-out on primaries and rentals. DSCR loans allow cash-out on investment properties only.

Bank Statement vs DSCR Loans in Patterson: Which Non-QM Option Fits Your Strategy?