Question 1

Can I use a DSCR loan to buy my first rental in Porterville?

Accepted Answer

Yes. DSCR loans are designed for investment properties. You just need the rent to cover the mortgage at the lender's required ratio.

Question 2

What credit score do I need for a DSCR loan?

Accepted Answer

Most DSCR lenders want a 680 minimum. Some go lower with a larger down payment or higher DSCR ratio.

Question 3

Does conventional work for investment properties?

Accepted Answer

Yes, up to 10 financed properties under Fannie Mae guidelines. Rates and down payment requirements are higher for non-owner-occupied deals.

Question 4

How much down do DSCR loans require?

Accepted Answer

Typically 20-25% down. Some lenders require more depending on the property type and cash flow profile.

Question 5

Which loan closes faster in Porterville?

Accepted Answer

DSCR often closes faster. No income verification means fewer conditions and less back-and-forth with underwriting.

Question 6

Can I hold a DSCR loan in an LLC?

Accepted Answer

Yes. Most DSCR lenders allow LLC vesting. Conventional loans generally do not — they require individual borrower ownership.

Conventional vs DSCR Loans in Porterville, CA