If you’re a real estate investor tired of banks asking for two years of tax returns, pay stubs, and a full breakdown of your personal debt, a DSCR loan might be the better path. DSCR stands for Debt-Service-Coverage-Ratio, and unlike a conventional mortgage, it qualifies you based on the income the property generates rather than your personal income. Here’s what it takes to qualify for a DSCR loan with Boathouse Commercial Funding Group in 2026.
Credit Score
We work with borrowers with credit scores as low as 500. This is significantly more flexible than conventional financing, which makes DSCR loans accessible to investors who may have credit dings from past business ventures, medical debt, or other circumstances unrelated to their ability to manage an investment property.
DSCR Ratio
Your DSCR ratio measures whether the property’s rental income covers its debt obligations. We can go as low as a .75 DSCR ratio, meaning we have programs available even for properties that don’t fully cover their mortgage payment from rental income alone. This opens the door to appreciation plays, value-add properties, and markets where cash flow is tighter but the long-term investment case is strong.
Loan-to-Value and Down Payment
Our DSCR loans go up to 80% LTV, meaning a minimum 20% down payment on purchases (equity requirement is similar on refinances). This is in line with, or better than, many conventional investment property loan programs.
Loan Amounts
We lend anywhere from $75,000 to $2 million, covering everything from a single-family rental to larger multi-family and mixed-use properties.
Entity Requirements
DSCR loans are commercial loans made to a business entity such as an LLC, corporation, or trust rather than to you personally. That means the loan does not report to your personal credit and does not count against you the way conventional mortgages do.
Seasoning Requirements
If you’re refinancing and want to use the new appraised value rather than your original purchase price, we only require 3 months of seasoning, much faster than the 6-12 months many lenders require.
If you meet these benchmarks, or even come close, it’s worth a conversation. Every deal is different, and our team looks at the whole picture rather than declining a loan based on one number. Contact us today to discuss your options.