DSCR Lenders for Rural STRs? Balloon Coming Up — Need a Refi Partner Who Get.

[Billy Sutton]

Hey BP Fam,

We’re looking for a DSCR lender who gets rural STRs — and doesn’t mind a smaller loan amount when the numbers make sense.

The Deal:

We own a 2-bed, 2-bath cabin, hot tub, acreage, etc. on a private lake in rural Georgia. It just appraised at $240K, and we owe under $75K. The STR is bringing in $4K–$5K/month gross, reliably, thanks to steady demand from vacationers who want something peaceful, private, and not in a crowded city.

We’ve used DSCR loans before, specifically in the Savannah tourism market, and we know the ins and outs: DSCR ratios, prepay structures, rate buydowns, all of it. But now that we're expanding into rural properties, we're hitting a wall with lenders who:

• Don’t like rural zip codes

• Don’t want loans under $200K

• Require 12+ months of seasoning

• Don’t want to touch STRs unless they’re in major metros

The thing is, this deal crushes on cash flow and has a huge equity cushion. We’re not asking them to take a flyer — just to look at the actual performance. We are looking for a strong, long term lending product to settle this asset into, with room for additional doors. 

Our Take on Rural STRs:

Rural STRs — especially unique, experience-driven stays like lake cabins, tiny homes, and farm getaways — are one of the most overlooked opportunities right now. You get:

Lower cost per door
Less local regulation
Strong guest demand for “off-grid” and “unplugged” vacations
Great ROI with the right setup

We’re planning to scale this model across several similar properties and think there’s a real lane here.

What’s Everyone Else Seeing?

I'm new hear and really excited to hear from the BP community:

• Have you had success getting DSCR loans on rural STRs?

• Which lenders were actually willing to look at smaller deals with real cash flow?

• Have you found creative workarounds when seasoning or zip code became a problem?

Drop your stories, wins, lender recs, or even horror stories — we’re trying to learn and share as we grow. Might even do a follow-up post on what we find if there’s enough interest.

Thanks y’all — excited to hear what’s working (and what’s not)!

—
Let’s keep building,
Billy
🏡 STR / Multifamily Rehab Investor | GA & Beyond
DSCR-experienced | Savannah ➡️ Rural Expansion

[Vincent Jacobbi]

Hi Billy - I'd love to help. Just sent you a DM.