DSCR stands for Debt Service Coverage Ratio. It’s a simple measure of whether a property’s income can cover its monthly debt payments. If a rental brings in $2,000/month and the mortgage costs $1,500/month, the DSCR is 1.33, more than enough to qualify.
But here’s the real benefit:
Unlike traditional loans, DSCR loans don’t require tax returns, W-2s, or a high personal income. Lenders look at the deal, not your day job.
Most investors waste weeks shopping loan terms, hitting income walls, or dealing with underwriters who don’t understand STRs. We make it easier.
An investor refinances a Gulfport rental that’s been on Airbnb for 8 months. Traditional lenders won’t count the income because it’s short-term.
How FLN Helps: We matched them with a DSCR lender that underwrites based on AirDNA and 3 months of verified bookings. Refi funded, cash pulled, next deal underway.
Florida’s rental markets are booming — and so are the rules. STR regulations, insurance shifts, and zoning changes mean your lender has to understand the local landscape.
We work with DSCR lenders who:
You can either book a quick call with us to walk through the numbers, or jump straight into the loan request form. We’ll match you with the best-fit lender for your project — based on property income, goals, and timeline.
Special Considerations:
Florida’s rental markets are booming, and so are the rules. STR regulations, insurance shifts, and zoning changes mean your lender has to understand the local landscape.
Under Special Considerations, we should remove the big space and change the dots to check marks
Want to see if your deal qualifies:
You can either book a quick call with us to walk through the numbers, or jump straight into the loan request form. We’ll match you with the best-fit lender for your project based on property income, goals, and timeline.
A Debt Service Coverage Ratio (DSCR) loan is a type of investment property financing that qualifies borrowers based on the property’s cash flow rather than personal income. The loan approval depends on whether the rental income can cover the mortgage payments and other property expenses.
DSCR is calculated by dividing the property’s monthly rental income by the monthly debt service (mortgage payment, taxes, insurance, and HOA fees). A DSCR of 1.0 means the property breaks even, while anything above 1.0 indicates positive cash flow.
Most lenders require a minimum DSCR of 1.0 to 1.25, though some programs accept ratios as low as 0.75. Higher ratios typically result in better loan terms and interest rates.
No, that’s the major advantage of DSCR loans. Since qualification is based on property cash flow rather than personal income, you don’t need to provide tax returns, W-2s, or other income documentation.
DSCR loans work for single-family homes, condos, townhomes, and small multifamily properties (2-4 units) in Tampa, St. Petersburg, Clearwater, and surrounding areas. The property must be used as a rental investment.
No, DSCR loans are specifically designed for investment properties. The property cannot be your primary residence or second home.
Most DSCR loans require 20-25% down, though some programs may require up to 30% depending on the property type and your credit profile.
DSCR loan rates are typically 0.25% to 0.75% higher than conventional investment property loans, but they offer much faster approval times and easier qualification.
Yes, DSCR loans can be used for both purchases and refinances of existing investment properties in the Tampa Bay market.
DSCR loans typically close in 21-30 days, much faster than traditional investment property loans that require extensive income verification.