What Is A Dscr Purchase Loan?
A DSCR (Debt Service Coverage Ratio) purchase loan is a long-term financing solution designed for real estate investors purchasing rental or income-producing properties.
Unlike traditional loans that focus on borrower income, DSCR purchase loans evaluate the property’s net operating income relative to debt obligations. This allows investors to qualify based on the strength of the property’s cash flow.
How Chavez Capital Dscr Purchase Loans Work
Chavez Capital partners with private and institutional lenders to deliver DSCR purchase loans tailored to investor goals. Our team helps structure financing based on the property’s performance, purchase price, and long-term investment strategy.
DSCR purchase loans are ideal for investors focused on cash flow, portfolio growth, and long-term income.
Dscr Purchase Loan Highlights
- Long-term financing for rental and income properties
- Cash-flow based underwriting (DSCR focused)
- Competitive amortization options
- Available for single-family, multifamily, and small commercial rentals
- Interest-only or fixed payment options (program dependent)
- Faster reviews than traditional bank financing
- Available nationwide (not available in UT, MN, VT, or SD)
Common Dscr Purchase Scenarios
- Purchasing rental single-family or small multifamily properties
- Buying established cash-flowing assets
- Replacing short-term or bridge financing with long-term DSCR loans
- Investors seeking passive income and portfolio growth
How The Dscr Purchase Loan Process Works
1. Apply
Submit basic property and loan details to receive initial terms.
2. Confirm Terms & Submit Documents
Upload required borrower and property documents.
3. Underwriting
Our team evaluates property cash flow and risk.
4. Approval
Receive final approval and updated term sheet.
5. Closing & Funding
Closing documents are prepared and funds are disbursed
Dscr Purchase FAQs
DSCR (Debt Service Coverage Ratio) measures how well a property’s net operating income covers its debt payments.
Most programs look for a ratio above 1.0, but final requirements depend on property performance and lender guidelines.
No. DSCR purchase loans focus primarily on property cash flow rather than personal income.
Yes — DSCR purchase loans can be used for multiple investment properties depending on investor goals and eligibility.
Yes, DSCR purchase loans are available in 46 states. Financing is not currently available in UT, MN, VT, or SD.
Ready to Acquire Your Next Rental Property?
Apply today to see if your investment qualifies for a DSCR purchase loan.