RENTAL PROPERTY LOAN RATES + TERMS
660
Up to 80%
30
1-4
$2M
Minimum FICO
LTVs for Purchase/Rate and Term
Year Loan Fixed
Units (including Condos and Townhomes)
Maximum Loan Amount
Your qualified clients won't have to provide verification of income or employment status, and we work with brokers with all types of investor clients, from the experienced to newcomers. We make getting their loan as easy as possible.
How It Works
Rental Solutions for Your Single Property Investors or Rental Portfolios
Constructive Capital provides flexible DSCR Rental options for your investors for 1-4 unit properties. Our wholesale financing provides solutions for your investors’ rental property needs with both short-term and long-term options.
Flexible
We have a variety of capital solutions for your investors, both fixed-rate and interest-only options. Our fundings work for both individual investors as well as entities.
Reliable
Our competitive rates are combined with a 21-day rate lock. This supports your investors with one or a portfolio of investment properties.
Fast
Our industry leading turn times provide a great experience. We consistently fund 85% of your approved wholesale applications within 20 days.
If you or your investors are new or just starting out with rental properties, you have come to the right capital provider.
What is a DSCR Rental Loan?
‘DSCR’ is short for Debt Service Coverage Ratio. This ratio helps us better understand and project your investor’s ability to pay back a loan based on revenue from the rent. Thus, our DSCR Rental Capital uses loan underwriting guidelines that review the property cash flow and is not based on the wages or personal income of the investor.
PITIA
To determine the amount of the DSCR Rental Loan, our underwriters compare a given property’s rental income to the expenses of that particular property. Those expenses include not only the loan costs, but also the property taxes, insurance, and any applicable association costs. These are often referred to as the PITIA, which is short for Principal, Interest, Taxes, Insurance and Association costs.
From this income and cost information, we are able to determine the Debt Service Coverage Ratio, which is summarized as:
_________
P I T I A
Rental Income
=
DSCR
One additional item that your property investor needs to keep in mind about this calculation is that the focus is really on recurring income (ex, rent) and expenses (ex, loan costs). Unexpected expenses that can happen with investment properties are not factored into the DSCR calculation.
