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FAQ/Current DSCR Loan Rates

Quick Answer

Current DSCR loan rates start at 5.99% for well-qualified borrowers (700+ credit, 25%+ down, 1.25+ DSCR). Rates range from 5.99% to 9.5% depending on credit score, down payment, DSCR ratio, and property type.No rate shopping - we find you the best rate from multiple lenders.

5.99%
Best Rate
6.5-7.5%
Avg Range
0.75%
Points $450K+
30yr
Fixed

Current DSCR Loan Rates 2025

Rate Matrix by Credit Score

Credit Score25% Down20% DownEst. Rate
740+✓ Best✓ Excellent5.99% - 6.49%
700-739✓ Great✓ Good6.25% - 6.99%
680-699✓ Good✓ Fair6.75% - 7.49%
660-679✓ Fair⚠ Higher7.25% - 7.99%
640-659⚠ Higher⚠ Much Higher7.75% - 8.49%
620-639⚠ Highest⚠ Highest8.25% - 9.50%

* Rates as of January 2025. Subject to change. Actual rate depends on full application review.

Factors Affecting Your Rate

Credit Score

High Impact

740+ gets best rates. Every 20-point drop adds ~0.25-0.50% to rate. 620 minimum required.

Down Payment

High Impact

25% down gets better rate than 20%. 30%+ down can save 0.25-0.50% on rate.

DSCR Ratio

Medium Impact

1.25+ gets best pricing. 1.0-1.24 adds ~0.25%. Below 1.0 requires special pricing.

Property Type

Medium Impact

SFR gets best rate. Condos add ~0.25%. Multi-family 2-4 units add ~0.125-0.25%.

Loan Amount

Low-Medium Impact

Larger loans ($450K+) qualify for lower points (0.75% vs 1.5-2%). Better pricing on $1M+ loans.

Loan Purpose

Medium Impact

Purchase slightly better than refi. Cash-out refi adds ~0.25-0.50% to rate.

How to Get the Lowest Rate

Improve credit to 740+
Save 0.50-1.00% on rate
Put down 25% or more
Save 0.25-0.50% on rate
Target DSCR of 1.25+
Save 0.25% on rate
Choose single-family home
Best available rates
Borrow $450K or more
Pay only 0.75 points vs 1.5-2%
Purchase vs cash-out refi
Save 0.25-0.50% on rate

DSCR vs Conventional Rates

Conventional Mortgage

Rate: 5.5% - 6.5%
Points: 0-1%
Down Payment: 15-25%
✓ Slightly lower rate
✗ Requires tax returns
✗ Income verification
✗ Debt-to-income limits
✗ Max 10 financed properties

DSCR Loan

Rate: 5.99% - 9.5%
Points: 0.75-2%
Down Payment: 20-25%
⚠ Slightly higher rate
✓ No tax returns needed
✓ No income verification
✓ No DTI limits
✓ Unlimited properties

✓ Worth It For Most Investors

The 0.5-1.5% higher rate is worth it to avoid documentation hassles, qualify faster, and finance unlimited properties.

Get Your Rate Quote

We shop multiple lenders to find you the best rate. Get a custom rate quote in 24-48 hours.

Get My Rate QuoteCall (949) 339-3555

Related Questions

What are DSCR loan requirements?What is a DSCR loan?DSCR vs conventional loanWhat credit score for DSCR loan?