PMI and debt service coverage ratio

[Nelson Santiago]

First post, I appreciate any information I can get, as I googled it but could not find anything relevant.

I'm working on my analysis spreadsheet in refining any parts that I can to tailor it to me. When purchasing my first investment I'd most likely be using an FHA loan which requires PMI.

So I'm curious does PMI count toward the debt in the DSCR?

[Jaron Walling]

FHA loans don't qualify for an investment property. You'll need at least 25% down to buy an investment property (non primary). If you're buying a primary residence I'd considered our markets and actually getting an FHA offer accepted. Hint... your chances are low.

I'd make sacrifices, continue market research, build credit, and aim for a conventional loan.