Its a tough subject because logically, they are joint and several guarantys so rationally a 100% guaranty from each of two people (one 740 one 680 for example) is ALWAYS going to be better than just one 100% guaranty from someone at 740 (so it wouldn't make sense to have a better rate for the latter)The problem is that there is fraud and "straw borrowers" out there where someone who is not involved in the property signs on to boost score and terms - so many DSCR Lenders in response either do the "non-rational" thing and price to the lower to avoid the fraud or use the higher of the two (and either be a little loose with things or just stay vigilant on any funny business)

Borrowing cash from another source does create a lot of risk so make sure to stick to your numbers and make the deal happen where you minimize that risk.Another option perhaps not mentioned is a wrap-style deal subject to or seller financing.

As a lender (aka “Maker”) to Norada, you are a valued member of the Norada family.The purpose of this correspondence is to provide you with an update on the repayment under the terms of the promissory note (“Note”) as an obligation of Norada Capital Management, LLC (“Norada”).As with all businesses, Norada is subject to market factors that could impact its ability to make payments.

Find three properties and make offers on all three at once subject to.  

These properties can often be acquired through creative financing methods like:Seller Financing: Negotiate flexible terms with motivated sellers who want to avoid traditional bank processes.Lease Options/Subject-To Financing: Take over a seller’s mortgage without assuming full responsibility, especially for properties needing renovation.Creative Terms: Adjust terms to fit market conditions, like offering lower down payments or longer payoff periods.Staying connected with investors and tailoring deals to current conditions can help you secure opportunities even in challenging markets.

To avoid these, create an operating agreement outlining roles, responsibilities, financial contributions, and handling disagreements.

@Celine Li I am curious if, before posting this, you clicked on the search function in top right, and tried looking up this subject/ answer/ question???? 

@Luís Ferreira  how can I found more on this subject?

If you have a handshake/wink-wink kind of deal then you should get a Promissory note at least that outlines the terms of the loan and what happens if it default, who the loan is between, and usually in agreements like this the language is broad. 

However, there are some drawbacks to putting a rental property in a trust - first setting up a trust can be expensive and involve a lot of paperwork, the rental property may be subject to rent control and liability insurance may be more expensive for a trust.