DSCR Loans for Multifamily Properties (5–20 Units)

What Is a Multifamily DSCR Loan?

A multifamily DSCR loan qualifies you based on the income your apartment building generates — not your personal W-2s, tax returns, or employment history. Lenders calculate the Debt Service Coverage Ratio (DSCR) by dividing the property's annual Net Operating Income (NOI) by the annual debt service (principal + interest).

This program covers 5–20 unit properties — the small commercial space where most conventional lenders won't go but where some of the best investment opportunities exist. Properties with 5+ units are underwritten on asset performance, not personal income.

DSCR = Annual NOI ÷ Annual Debt Service  |  Minimum: 1.20x required

Loan Parameters

• Property size: 5–20 units
• Loan amounts: $500,000 – $5,000,000+
• Up to 75% LTV on purchase
• Up to 70% LTV on refinance
• Minimum DSCR: 1.20x
• Terms: 5/1 ARM, 7/1 ARM, 10/1 ARM, 30-Year Fixed
• 30-year amortization
• No personal income verification — qualifies on NOI
• Credit score 660+ preferred
• LLC, LP, Corp, Trust entity types accepted
• Typical close: 21–45 days

Who This Program Is For

• Investors acquiring 5–20 unit apartment buildings
• Owners refinancing or cashing out equity in existing multifamily assets
• Self-employed investors without documentable W-2 income
• Portfolio builders scaling beyond single-family or small multifamily
• LLCs and corporations seeking entity-level financing
• Out-of-state investors purchasing in high-yield multifamily markets

Eligible Property Types

• 5–20 unit residential apartment buildings
• Mixed-use properties (majority residential income)
• Garden-style, mid-rise, and walk-up configurations
• Value-add stabilized properties (85%+ occupied)

Apply for a Multifamily DSCR Loan

Start your application online — no personal income docs required. Qualify based on your property's cash flow.

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