What Properties Qualify for Multi-Family DSCR Loans When lenders evaluate DSCR loans for multi-family properties, they consider more than just the borrower and the property’s rental income. The property itself must meet certain eligibility guidelines before financing can be…
How to Calculate DSCR for Multi-Family Properties When investors evaluate rental properties, one of the most important numbers to understand is the debt service coverage ratio, commonly referred to as DSCR. This ratio compares the rental income produced by…
DSCR Loan Down Payments for 5 to 8 Unit Properties When investors begin evaluating multi-family properties with 5 to 8 units, one of the first questions that usually comes up is how much cash will be required to complete…
DSCR Loan Requirements for 5 to 8 Unit Multi-Family Properties Investors purchasing multi-family properties with 5 to 8 units often discover that financing rules change once a property moves beyond the 4 unit threshold. Most residential mortgage programs stop…
DSCR Loans for 5 to 8 Unit Multi-Family Properties Properties with 5 to 8 residential units often fall into a financing gap in the lending market. They are too large for most residential mortgage programs but still smaller than…
Large Bank Deposits and Mortgage Approval: What Borrowers Should Know Mortgage underwriting requires lenders to verify the funds used for a home purchase. One lesser-known guideline under Fannie Mae’s asset verification rules involves large or unusual deposits appearing in…
Fannie Mae vs. Freddie Mac: Key Differences That Can Affect Mortgage Approval Most borrowers have heard the names Fannie Mae and Freddie Mac at some point during the mortgage process. What many people do not realize is that these organizations…
Low Down Payment Conventional Loan Options: What Borrowers Should Know A common belief among homebuyers is that purchasing a home requires a 20 percent down payment. While a larger down payment can certainly provide advantages, it is not a…
Understanding the 25 Percent Rule for Commission Income Commission income is common in many professions. Sales professionals, financial advisors, real estate agents, and many technology employees earn a portion of their compensation through commissions or incentive pay. When applying…
Using Rental Income to Qualify for a New Home Purchase Many homeowners assume that when they purchase a new home, they must sell their current residence first. While that may be the right choice for some situations, it is…
