With a No-Ratio DSCR loan you can use rental income and even potential rental income to qualify for investment property financing — no W-2s, no tax returns, no personal income verification required.
Instead of tying your loan approval to personal debt-to-income ratios, we focus on the income potential of the property itself and your down payment. No-Ratio DSCR loans close faster because they involve far less documentation than conventional loans.
Whether you are purchasing a vacation rental, single family home, or multifamily property, our No-Ratio program is the fast track to short-term rental passive income.
What Is a No-Ratio DSCR Loan?
A No-Ratio DSCR loan is an investment property mortgage that qualifies borrowers on the property's rental income potential and down payment alone — no W-2s, no tax returns, no personal income verification. Credit scores from 650, LTVs up to 80%, and most loans close in about 3 weeks.
A No-Ratio DSCR loan is a type of mortgage that allows us to approve your loan without verification of your personal income. We call this debt service coverage ratio lending, but without actually being tied to your W-2. With a No-Ratio mortgage, we don't consider your personal income to qualify — instead, we focus on the income potential of the property and your down payment.
No-Ratio DSCR loans close faster because they involve far less documentation than conventional loans. You tell us how much rental income you receive from the monthly rent, and the net operating income gets your rental property approved without worrying about your personal debt service coverage ratio getting in the way of your investment goals.
No W-2 Required
Your personal income from your W-2 does not come into play. We qualify you based on the rental income potential of the property.
Fast 3-Week Closing
Less documentation means faster closings. Most No-Ratio DSCR loans close in about 3 weeks from application to funding.
Use Rental Income
Qualify based on the property's rental income or potential rental income — even if the property is currently vacant.
What Are the No-Ratio DSCR Loan Program Basics?
No-Ratio DSCR loans are part of our expanded DSCR program for real estate investors who want simplified financing. Standard DSCR lenders commonly require a ratio of 1.0x-1.25x, but our No-Ratio program removes that threshold entirely. You qualify on LTV (up to 80%), credit score (650 minimum), and down payment -- not personal income or debt-service ratios.
Eligible Property Types
Key Program Features
- No minimum DSCR ratio required
- No W-2 or tax returns needed
- Credit scores as low as 650
- LTVs up to 80% based on appraisal
- Close in approximately 3 weeks
What Are DSCR Loan Interest Rates for Investment Properties?
Competitive Rates Without Personal Income Requirements
We provide the best mortgage rates for investment property based on a potential rental income mortgage calculation. Many eager investors have been holding back due to fears of finding financing with challenging personal credit scores.
We are now providing a variety of lending products without debt service coverage ratio requirements, including streamlined loans with limited documentation for the credit-challenged at competitive rates.
Any dips in housing prices make up for higher interest rates. Our DSCR loans are fast and easy. Call us today for a free consultation: 888-375-7977
What Are the Competitive Rate Terms for No-Ratio Loans?
No-Ratio loans offer up to 80% LTV based on an appraised value we order, with 3/1 ARM, 5/1 ARM, 10/1 ARM, and 30-year fixed options -- all with 30-year amortization and no balloon payment. Investment property rates typically run 0.50-0.75 percentage points above primary-residence rates, and our No-Ratio pricing is competitive within that range.
Fixed Rate Terms
NO PROPERTY INCOME RATIOS
- 3/1 ARM – NO Balloon
- 5/1 ARM – NO Balloon
- 10/1 ARM – NO Balloon
- 30 Year Fixed – Fully Amortizing
- Interest Only Option
30 Year Amortization
INVESTOR-FRIENDLY TERMS
- Pre-Payment Penalty: 3 or 5 Year Declining
- Upfront Fee: Appraisal Only
- Use Your Own Title Company
- Close in About 3 Weeks
- Funds Into LLC or Personal Name
- Lender Fees: 1.0–2.0% at Closing
- 6-12 Months PITIA Cash Reserves Required
Easy Qualifying
3-WEEK CLOSING
- No W-2s Required
- No Tax Returns Necessary
- No 4506s Ever
- 650 Credit Minimum
- Past Bankruptcy OK (2+ Years)
- Past Foreclosure OK (2+ Years)
- LTVs Up to 80% of Current Value
What Can You Use a No-Ratio DSCR Loan For?
No-Ratio loans cover purchases, rate-term refinances, and cash-out refinances on vacation rentals, single family homes (1-4 units), duplexes, fourplexes, multifamily properties, and apartment buildings. The typical investment property down payment is 20-25% for conventional, but our program starts at 20% with no personal income documentation required.
Vacation Rentals
Start a short-term rental LLC and transform your DSCR loan into a vacation rental. Great for Airbnb and VRBO properties.
Single Family (1–4 Unit)
SFR, duplex, triplex, and four-plex investment properties all qualify under our No-Ratio program.
New Acquisitions
Be confident when making offers on new purchases. Our fast qualifying means you can close before the competition.
Cash Out Refinances
Pull equity out of your investment properties to fund new acquisitions or improvements without income documentation.
Multifamily Properties
Finance multifamily investment properties with our No-Ratio program. Ideal for growing your rental portfolio.
Apartment Buildings
Apartment building financing with flexible qualification. Credit-challenged investors welcome with strong property income.
How Does a No-Ratio Loan Work for Short-Term Rentals?
Short-term rentals can generate 2-3x the revenue of long-term leases in top markets, according to AirDNA data. Our No-Ratio program is built for this asset class because traditional DSCR calculations don't always capture the seasonal income patterns of Airbnb and Vrbo properties. We qualify on LTV and credit score instead.
Finding a loan without the debt obligation tied to your personal income can be a challenge with conventional lenders. Our DSCR mortgage solves that for real estate investors wanting investment and commercial properties. A rental income mortgage with DSCR loans is fast and easy. We frequently approve short-term rental loans for credit scores as low as 650.
What Is Debt Service Coverage Ratio (DSCR)?
DSCR is the ratio of a property's annual net operating income (NOI) divided by its annual mortgage debt. A DSCR of 1.0x means the property breaks even; most lenders require .75x or higher. Our No-Ratio program removes that threshold entirely, qualifying you on LTV and credit score instead.
The debt service coverage ratio is the ratio of annual net operating income and annual loan debt for the investment property loan. The lender can use the down payment and DSCR to assess the income potential of a loan and determine the maximum income protection of private mortgage insurance for a particular loan amount.
DSCR loans are great for investment property. However, our DSCR no-ratio loan for investment property is based on the cash flow stated by the investor of the rental properties. This means your personal income from your W-2 does not come into play when qualifying.
What Is NOI (Net Operating Income)?
Net operating income is total rental revenue minus operating expenses like property taxes, insurance, and maintenance — but before mortgage payments. NOI is the numerator in the DSCR formula. A property with $2,500/month gross rent and $500/month in expenses produces $24,000 annual NOI.
Net operating income (NOI) is a standard calculation in DSCR loans. Most lenders use NOI to analyze the profitability of real estate investments and ensure the property meets minimum principal and interest payments.
NOI equals all revenue from the property minus reasonably necessary expenses such as insurance and maintenance costs that don't directly relate to generating cash flow for investors.
We calculate DSCR so we can provide you a no-ratio loan based on the property income and not your personal income. Since we focus on NOI for your DSCR loans, we won't let the debt service coverage ratio get in the way of your investment goals. Use our free DSCR calculator to see where your property stands before you apply.
How Is No-Ratio DSCR Loan Pricing Determined?
No-Ratio loan pricing is based on zip code, LTV, credit score, loan size, leased versus vacant status, and loan term. Your personal income and personal debt obligations do not impact the maximum loan amount. DSCR loans typically close in about 21 days -- roughly half the 30-45 day timeline for conventional investment property mortgages.
We focus on the cash flow generated from the monthly payments of your tenants. Your rental income mortgage will depend on the potential rental income calculations and the profits your investment property will provide.
Can You Close a No-Ratio Loan on a Vacant Property?
Yes. No-Ratio DSCR mortgages are ideal for vacant properties because qualification doesn't depend on current rental income. With the national rental vacancy rate at approximately 6.6% according to U.S. Census Bureau data, many investment properties are between tenants at the time of purchase. Our program lets you close fast on a vacant property and place tenants on your own timeline.
Flexible Qualification
State how much the property earns to show there is no negative cash flow. Great for your first vacation rental or your tenth.
Positive Cash Flow Focus
We look at the possible positive cash flow of the rental properties to set loan terms. The property can even be vacant.
Hard Money Lending
We are your hard money lender for DSCR loans. We use the net operating income of the investment property to get your loans approved.
Minimal Documentation
No W-2s, no tax returns, no 4506 forms. Principal and interest payments are based on stated cash flow investment property loans.
Is It Hard to Get a Loan for Investment Property?
Not with a No-Ratio DSCR loan. Traditional lenders make it difficult because they rely on personal debt-to-income ratios, but our program qualifies you on the property's income potential instead. Credit scores from 650, no W-2s or tax returns, and closings in about 3 weeks.
We say it's easy — but that is not what most mortgage companies do because they have to use your debt-to-income ratio. You have come to the right place because we are a hard money lender who can provide DSCR lending without debt service coverage ratio getting in the way of getting your investment property loans.
For other mortgage companies, obtaining investment property loan applications can be tough because they consider investment properties to be riskier and can only use debt service coverage ratio to qualify borrowers. We have removed those obstacles. For the best rates and terms for your investment property loans, you need a hard money lender like us that can provide a No-Ratio DSCR loan, which is why many investors growing their portfolios choose us for DSCR loans.
Ready to Get Started?
Whether you need financing for a vacation rental, single family investment, or multifamily property, our No-Ratio DSCR loan program removes the traditional income documentation barriers that hold investors back. Fast closing, flexible qualifying, and competitive rates — all without a W-2.
Call us today at 888-375-7977 for a free consultation, or apply online now for quick pre-approval on your rental investment property.