DSCR loans that qualify on the rent, not your tax returns.
Long-term financing for rental property, underwritten on the property’s cash flow. Up to 85% of the purchase price, 80% on a cash-out refinance, with prepayment and closing-cost options most investors don’t get offered.
DSCR loan terms, in plain words.
| Term | What we offer | What it means |
|---|---|---|
| Loan purpose | Purchase · rate-and-term · cash-out | Buy a rental, lower your rate, or take equity out. |
| Rate | From 6.625%* | A representative 30-year fixed rate for a well-qualified borrower as of November 12, 2026, not an APR. Yours is priced to credit, LTV, DSCR, loan size, prepayment structure and state. |
| Purchase & rate-and-term | Up to 85% LTV | On a $400,000 purchase, a loan of up to $340,000. |
| Cash-out refinance | Up to 80% LTV | On a $500,000 value, a loan of up to $400,000 before the payoff and costs. |
| How you qualify | The property’s rent | DSCR = monthly rent ÷ monthly payment with taxes, insurance and HOA. No tax returns, no W-2s. |
| Structure | 30-year fixed · ARM · interest-only | A fixed payment for a long hold, or interest-only for cash flow. |
| Property | 1–4 units, non-owner-occupied | Residential rentals, one property or a portfolio. |
| Borrower | LLC-friendly | Most investors close in an LLC; a personal guaranty is standard on business-purpose loans. |
| Prepayment | 5-1-1-1-1 · 1-1-1-1-1 · none | Leave in year two for 1%, not the industry’s 4%. Compare the options. |
| Closing costs | $0 options | Broker fee $0, origination $0, and third-party costs such as title and appraisal can be covered by us. Ask us for details on your deal. |
| Lease-up or vacancy | No-ratio option | No cash-flow test, for value-add, lease-up or a short vacancy. |
The rate is priced to your scenario: credit, LTV, DSCR, loan size, prepayment structure and state.
What DSCR means, in dollars.
Example figures, not a quote. Below 1.00? The no-ratio option has no cash-flow test. Run your own numbers in the DSCR calculator.
From address to closing, one team.
Send the property
The address, the rent or market rent, and your goal: buy, refinance or take cash out.
Get your terms
Leverage, rate and the prepay options for your scenario.
Appraisal & rent
The appraisal confirms the value and the market rent. No income documents.
Clear to close
Entity documents, ID and bank statements for reserves. One team handles it.
Close & hold
Close with the structure you chose, including $0 origination where it applies.
Just closed with YS Capital and had a great experience! They offer good rates and minimal closing fees.
DSCR loan questions
What is a DSCR loan?
A DSCR (debt-service-coverage ratio) loan qualifies on the rental property’s cash flow instead of your personal income. The monthly rent is divided by the monthly payment: principal, interest, taxes, insurance and any HOA. No tax returns or W-2s.
How much can I borrow on a DSCR loan?
Up to 85% of the purchase price on a purchase or rate-and-term refinance, and up to 80% of the value on a cash-out refinance. Your exact leverage depends on credit, DSCR and the property.
What DSCR do I need?
At 1.00 or higher the rent covers the payment, and a stronger ratio generally means better terms. If the property is in lease-up or briefly vacant, the no-ratio option has no cash-flow test.
Does a DSCR loan have a prepayment penalty?
Most do. The industry standard is 5-4-3-2-1: 5% of the balance in year one, stepping down to 1% in year five. We offer 5-1-1-1-1, a flat 1% for five years, or no prepayment penalty. Compare them.
Can I get a DSCR loan with no closing costs?
Yes, on eligible DSCR loans: no broker fee, no origination, and third-party costs such as title and appraisal can be covered by us. Ask us for the numbers on your deal.
Can I close a DSCR loan in an LLC?
Yes. Most of our investors borrow through an LLC; a personal guaranty is standard on business-purpose loans.
Do you do cash-out refinances on rentals?
Yes, up to 80% of the appraised value, paid to you after the existing loan and closing costs. There is no waiting period after you buy; how long you have owned it can affect the amount, so tell us when you bought the property.
Is a DSCR loan a consumer mortgage?
No. It is a business-purpose loan on non-owner-occupied investment property. If you plan to live in the property, call us about other options.
Send us the rental. We’ll send back the structure.
The rent, the value and your goal. We answer with leverage, rate and the prepay options for your deal.
*For business-purpose loans on non-owner-occupied investment property only. Not available for personal, family or household purposes. All loans subject to credit approval, underwriting and property eligibility. Rates, leverage and terms are indicative, change without notice, and not all borrowers will qualify; not a commitment to lend. YS Capital Group · NMLS ID 2609746 · Equal Housing Lender.