I've included an example below to help illustrate this.So different lenders have different rates (which do vary even for DSCR loans) but these are factors they all consider.See example below:DSCR < 1Principal + Interest = $1,700Taxes = $350, Insurance = $100, Association Dues = $50Total PITIA = $2200Rent = $2000DSCR = Rent/PITIA = 2000/2200 = 0.91Since the DSCR is 0.91, we know the expenses are greater than the income of the property.DSCR >1Principal + Interest = $1,500Taxes = $250, Insurance = $100, Association Dues = $25Total PITIA = $1875 Rent = $2300DSCR = Rent/PITIA = 2300/1875 = 1.23If a purchase, you also generally need reserves / savings to show you have 3-6 month payments of PITIA (principal / interest (mortgage payment), property taxes and insurance and HOA (if applicable).

If you ever need insights on financing options for rental properties, including DSCR loans to scale your portfolio, I’d be happy to help.

🌟 There are definitely people in the Milwaukee area, including Bay View, who rent out rooms on Airbnb.

The UAE market has continued to evolve, with various Emirates offering unique investment opportunities.Currently, we have a diverse portfolio of projects, including fish farming, stone trading, construction, and more.

Not including closing costs. 

Many hard money lenders offer loans that include rehab costs, which could be beneficial for your BRRRR strategy.Alternatively, if you find a lender that offers a DSCR loan with a lower down payment requirement, that could be another route to explore, especially if you already have positive rental income history.

Don’t forget to include the cost of the loan servicer. 

(If you have any books or podcasts with more information please include them as well). 

On the flip side, some challenges include rising material costs, contractor delays, and unexpected permitting hurdles—so having a solid plan and reliable team is key.Would love to hear more about your strategy!

And my rental cash flow went from only $1500/month to 19k/month profit by taking on more loans and harvesting the equity in some of my properties including my primary.