DSCR loans qualify the property, not just the buyer
A debt-service coverage ratio (DSCR) loan is underwritten primarily against the property's projected rental income relative to its debt payment, rather than the buyer's personal income and employment history the way a conventional mortgage is.
That makes DSCR financing a common path for buyers acquiring a short-term rental as an investment rather than a primary residence, though rates and down payment requirements typically run higher than an owner-occupant loan.
What lenders want to see for a short-term rental specifically
Because short-term rental income is inherently more variable than a signed twelve-month lease, DSCR lenders often apply a more conservative income estimate -- sometimes based on long-term rental comparables rather than nightly-rate projections -- when calculating the ratio.
Understanding which income figure a given lender will actually use, before you're under contract, avoids a financing surprise at the worst possible time in the deal.
BNB Accelerator's acquisitions team, led by Nick Korom, screens over 1,000 short-term rental listings a week and hand-delivers the roughly 2% that clear underwriting. Book a free consultation to see what a done-for-you short-term rental acquisition looks like for your situation.