Lenders who loan based on investment property financials not individual

[Denham McCall]

Hi,

When purchasing a rental property are there lenders or loans available that are financed based on the finances of the investment property and not the person purchasing the loan?

Let me clarify with an example. If I qualify for a regular mortgage of 800k (based on my income credit score etc.) but the property I want to purchase is 4 million and I can put together a business plan that outlines the finances and cashflow will easily pay the 4 million mortgages.

Are there lenders that will finance a deal based on the financials of the deal and not the individual’s income and credit score?

[Erik Estrada]

Sounds like you are looking to qualify for a DSCR loan.

Qualifications are based on FICO, experience and property debt servicing the mortgage payment. If the property is leased out, you can use lease agreements to qualify. If it is not leased out, you will need a market rent 1007, or AIRDnA to show short term rents.