Invest in Rental Properties Without Income Docs
If you’re a real estate investor looking for a simplified way to qualify for a mortgage on a rental property—without the need to verify your personal income—a Debt Service Coverage Ratio (DSCR) loan may be the perfect solution.
Instead of relying on your job or tax returns, DSCR loans use the property’s cash flow to qualify. It’s a game-changer for new and seasoned investors alike.
What Is a DSCR Loan?
A DSCR (Debt Service Coverage Ratio) loan is a mortgage designed for purchasing or refinancing short-term and long-term rental properties. These loans are qualified based on a property’s rental income rather than the borrower’s income or employment.
No W-2s, No paystubs, No tax returns.
Who Is It For?
- Real estate investors
- Short-term rental property owners (Airbnb/VRBO)
- Buyers using LLCs or investment entities
- Borrowers with multiple financed properties
- Foreign nationals and non-permanent residents
How Is DSCR Calculated?
DSCR = Rent ÷ PITIA
(PITIA = Principal, Interest, Taxes, Insurance, HOA Fees)
| Rent | PITIA | DSCR | Result |
| $1100 | $1000 | 1.10 | ✅ Positive Cash Flow |
| $1000 | $1000 | 1.00 | ⚖️ Break-Even |
| $900 | $1000 | 0.90 | ❌ Negative Cash Flow |
Loans may be available even with DSCR < 1.0
Key Loan Features
| Feature | Details |
| Max Loan Amount | Up to $3 million |
| Minimum Loan Amount | $100,000 |
| Loan Types | Purchase, Cash-Out, or Rate-Term Refi |
| Property Types | Short-term & long-term rentals |
| LTV / Credit Requirements | Up to 75% LTV – 680+ FICO Up to 85% LTV – 720+ FICO |
| Documentation | No income or employment required |
| Ownership Type | LLC, S Corp, C Corp, Revocable Trusts |
| Foreign Nationals | ✅ Allowed |
| First-Time Home Buyer | ❌ Not Allowed |
| Interest-Only Option | ✅ Available |
| Seller Concessions | Up to 6% |
| Approved States for Business Purpose* | AL, CO, CT, FL, GA, IN, LA, MO, NC, NM, OH, OK, PA, SC, TN, TX, UT, VA, WA, WI |
Unique DSCR Program Advantages
- ✅ AirDNA Reports accepted for short-term rentals
- ✅ No cap on total financed properties
- ✅ Max 5 loans with Angel Oak (exceptions considered)
- ✅ Non-warrantable condos and condo hotels allowed
- ✅ Gift funds accepted
Action Steps
📌 Run a rent analysis on your target property
📌 Calculate PITIA – total of principal, interest, taxes, insurance, and HOA
📌 Apply with zero income verification
Invest Smarter with a DSCR Loan
Whether you’re buying your first investment property or expanding your rental portfolio, a DSCR loan gives you the flexibility to qualify using the income that matters: your rental cash flow.
Contact us today to calculate your DSCR and take the next step toward building real estate wealth. Schedule A Call
Brian Martucci is a loan officer for Capital Bank Home Loans, a division of Capital Bank, N.A. He has been in the mortgage industry since 1986 and has served in a number of roles, including loan processor, loan officer, mortgage broker, branch manager, and vice president. Brian Martucci – NMLS# 185421. His opinions do not necessarily reflect the opinions and beliefs of Capital Bank Home Loans or Capital Bank. Capital Bank, N.A.- NMLS# 401599. Click here for the Capital Bank, N.A. “Privacy Policy”.
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