DSCR Lending strategies

[DeAndre Mason]

Im curious as to how to go about obtaining PML for a DSCR loan option. How would you structure a deal so that the private money could cover the down payment and fund the rehab in order to minimize money out of your pocket and being able to pay the private lender off when you refinance? Or, is it possible to use a PML for just a downpayment for a turn key DSCR multifamily property not in need of any upgrades? How would you structure a deal so that someone would be willing to just give you down payment money?

[Patrick Roberts]

Many DSCR loans do not allow subordinate financing and will require downpayment funds to be sourced. DSCR loans typically wont work for rehabs, either. It sounds like what you're looking for is an equity partner - you will have a tough time finding someone to lend in 2nd position at 100% CLTV.