DSCR loans in Appreciating Markets (High Cost of Living)

[Kevin Arceo]

Has anyone succesfully gotten a DSCR loan on a SFR in an appreciating market (high cost of living), i.e. Bay Area, Los Angeles?

The DSCR loan is predicated on the cash flow covering the debt service, but that seems very unlikely in areas with low or no cash flow.

I can see DSCR loans working in the midwest, but not on the west coast. Am I wrong or?