8 Jun, 2023
Debt Service Coverage Ratio (DSCR) Loans are becoming widely popular for investors for a variety of reasons.  One of these reasons is how easy the approval process is and how little documentation is actually needed from the investor!  We put together a quick outline of these documents and a brief explanation of them!
  • Driver’s License: the easiest form of identification of the borrower
  • LLC Documents:
    • Articles of Organization
    • EIN Document
    • Operating Agreement
  • Appraisal: The property will be appraised by a licensed appraiser.  The appraiser will also perform a rental market analysis and include that in his report
  • Insurance Policy: a standard landlord policy from your insurance agent will work just great for these loans
  • Lease Agreement (Occasionally): if the property is leased with tenants, a copy of the lease will need to be provided
  • 2 Bank Statements: These are used to confirm that there is enough liquidity in the bank account to cover a few months of mortgage payments in case the property becomes vacant during a turnover
  • Title Work: We work with your title or settlement company.  We can also work with your title attorney!  They will provide necessary documents.
Our team works diligently with both your insurance agent as well as your settlement company to alleviate the work required from our borrowers.  We’re able to navigate underwriting and ensure a very smooth process from start to finish!

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