Lately, there are a lot of lenders that are offering very attractive DSCR loans for investors purchasing investment properties.
DSCR stands for Debt Service Coverage Ratio. That means the lender will lend on the performance of the individual property without regard to the rest of the buyer's financial circumstances.
In other words, will the property generate enough income to sustain itself and produce positive cash flow?
This is a great solution for investors in two to eight-unit properties that have a documented history of rental income.