A DSCR loan, or Debt-Service Coverage Ratio loan, is a type of mortgage primarily designed for real estate investors. It allows borrowers to qualify for financing based on the income generated by the property rather than their personal income. This non-QM (Qualified Mortgage) loan features a streamlined approval process, focusing on whether the property's cash flow can cover the monthly mortgage payments, making it easier for investors to secure funding without traditional income verification.
