Mortgage Lender wont let me refinance equity. Options?

[Lily Sellers]

Got pre-approved for another investment property for only 200k (not much in my market) But, I have more than enough equity in one of my other properties that would cover more than enough for the difference I want to spend on a specific property. I tried seeing my options for refinancing the house to tap into some of the equity but the mortgage lender I'm using told me My DTI ratio is too high (Hasn't been two years reporting tenants renting, and my second job hasn't been secured for two years) So I can't refinance the loan. Other than waiting out the two years to include both of the previously mentioned incomes, is there another way to tap into the equity of my house? Does HELOC's go off of DTI ratio as well? Is there any other options other than refinancing and Helocs? Is DTI different for different mortgage lenders? Thanks in advance friends. Because of everyone's expertise on these forums I have already made life changing investments in the last year.

[Jay Hurst]

You can use a Debt Service Coverage Ratio (DSCR) loan to pull cash out of the other property. DSCR loans only look at the rental income the property is bringing in, not the rest of your income. You would then likely have to purchase using a DSCR loan as well if you income the additional debt.