DSCR LOANS

• Investor-Focused Expertise – We specialize in DSCR loans for real estate investors, not traditional homebuyers. That means our programs are designed with rental properties and Airbnb's in mind.
• Local Market Knowledge – We have experience financing invesmtent propreties in 35 states. We understand the dynamics of each market we operate in and structure loans that work for both long-term and short-term rental strategies.
• Speed & Certainty – In competitive markets, timing matters. Our streamlined process and fast closings help you win deals before the competition.
• Direct Relationship Lending – Unlike big banks, we provide personalized service and tailored loan terms so you’re not just another file in the system.
• Competitive Rates & Terms - Ridge Street aims to be in top 10% of the DSCR loan market for low rates and fees.

Yes, as long as the LLC is registered in the state where the property is located, we can fund the deal in the name of your LLC.
Check out our Complete Guide To DSCR Loans.

The short answer is no, the property does not have to be rented. We understand that investors who fix and refinance properties  intend to refinance as soon as possible after renovating a property.

To obtain a DSCR Loan, the property must be in rentable condition. Formally, this means the property must obtain an appraised condition rating of at least C4/C6 with no deffered maintenance.

Here is a breakdown of the estimated closing costs on a $300,000 DSCR loan:

• Appraisal Fee → $500 – $700
• Title Search & Title Insurance → $1,000 – $1,500
• Recording Fees & Transfer Taxes → $400 – $800
• Title Agent Fees → $750 – $1,200
• Prepaid Reserves (2 Months of PITI) → $3,000 – $4,000
• Insurance → $2,000-$3,000

Pros Of DSCR Loans

• No Personal Income Verification
• No tax returns or W-2s required; approval is based on the property's DSCR.
• Can be used for single-family rentals, multifamily units, condos, and short-term rentals like Airbnb.
• Investors can qualify for multiple properties without debt-to-income (DTI) limitations.
• Cash out refinancing available with DSCR loans making them an ideal choice for investors using the BRRRR Investing Strategy.

Cons Of DSCR Loans

• Higher Interest Rates – Typically 0.5% higher than conventional mortgages.
• Requires 20-25% down, while conventional loans may allow as low as 15% for investment properties.
• Prepayment Penalties – Many DSCR loans include penalties if paid off early, especially within the first 3-5 years.

Yes, our mininium loan amount is $50,000 for DSCR Loans. Note that the minimum collateral value of a property that we can finance is $75,000.

The main difference between a conventional loan and DSCR Loans, is that a DSCR loan uses the rental income of a property to qualify the loan.

For a detailed overview of the differences and similarilities, read our article: Conventional V.S. DSCR Loans.

DSCR = Rent / (Principal+Interest+Taxes+Insurance)

You can use our DSCR Calculator to calculate the DSCR of your property.

To get a pre-approval letter, you can complete our pre-approval application and we'll get back to you in 1-2 business hours.