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in Marysville, CA
Marysville buyers split into two camps: people buying a home to live in, and investors buying to rent out. These two groups need different loans.
Conventional loans are built for owner-occupants with strong income and credit. DSCR loans are built for investors who let rental income do the qualifying.
Conventional loans are not government-backed. Lenders set terms based on your credit score, income, and debt-to-income ratio.
Most conventional loans require at least 3-5% down for primary residences. Investment properties typically require 15-25% down under conventional guidelines.
DSCR loans skip your tax returns entirely. The lender looks at the property's rent versus its monthly debt payment — that ratio determines approval.
A DSCR of 1.0 means rent covers the mortgage exactly. Most lenders want 1.1 or higher. Marysville rents can make this math work on lower-priced properties.
The biggest split is how you qualify. Conventional loans need two years of income history. DSCR loans need a rent schedule and an appraisal.
HousingWire flagged the 30-year fixed hitting 6.57% recently — that rate applies to conventional borrowers. DSCR rates run higher, often 1-2 points above conventional. Plan for that cost difference.
If you're buying a home to live in Marysville and have steady W-2 or documented income, conventional is almost always the right call. Lower rates, lower costs.
If you're an investor — self-employed, retired, or already maxed on conventional loans — DSCR opens doors that conventional closes. The property qualifies, not you personally.
No. DSCR loans are investment property only. For a primary residence, you need conventional or a government-backed loan.
Most DSCR lenders require at least 660-680. Higher scores get better pricing. Conventional loans start at 620.
Expect 20-25% down minimum on DSCR. Some lenders go to 30% for higher-risk profiles or lower DSCR ratios.
Yes, with documentation. Lenders typically require a signed lease and may use 75% of rental income toward qualifying.
Conventional rates run lower for qualified borrowers. DSCR loans carry a premium for the flexibility they offer investors. Rates vary by borrower profile and market conditions.
Yes. DSCR loans don't show up as personal debt the same way. Many investors carry both simultaneously.