Core program
DSCR rental loans for Indiana investors
A business-purpose mortgage that qualifies the property on its rent. We arrange them for non-owner-occupied rentals across Indiana, shopping wholesale lenders instead of quoting one shelf.
What the loan actually is
A DSCR loan is a mortgage made to a business entity, secured by investment property, and underwritten on the property’s debt service coverage ratio. The ratio compares the rent the property produces with the total monthly cost of carrying it: principal and interest, the monthly share of property taxes, the monthly share of insurance, and any association dues.
That structure exists because investors and their properties do not always look alike on paper. A landlord with a large portfolio and modest taxable income, a retiree living on distributions, a self-employed builder whose deductions are aggressive, a foreign national with no American credit file — none of those fit an income-documentation mortgage. All of them can fit a coverage-based one, provided the property performs.
We are a broker. The money comes from wholesale lenders, each with its own program parameters, and our job is to compare them, explain the trade-offs, and place the file where it will close without surprises.
What the file is judged on
Coverage is the headline, but a lender reads six things. Knowing them in advance is what separates a two-week file from a two-month one.
Coverage
Rent against principal, interest, property taxes, insurance and association dues. This is the number the file turns on.
Condition
The appraiser reports what needs work. Health-and-safety items become conditions, escrows or a decline.
Credit
Scored and reviewed. Programs differ on the floor and price the difference; a low score is a cost, not always a wall.
Reserves
Months of the housing payment held after closing, verified and seasoned. Reserves are what carry a vacancy month.
Entity
A formed LLC with documents that match the signer. This is where slow files are usually born.
Market
The lender’s own appetite for the county, the property type and the loan size, which is why one lender says yes and another says no.
Property types we place
- Single-family rentals, including manufactured housing on owned land
- Duplexes, triplexes and fourplexes
- Five-plus unit apartment buildings and mixed-use with residential majority
- Condominiums, including projects that agency guidelines reject
- Townhouses and planned-unit developments
- Furnished nightly rentals where the program accepts the income basis
Rural acreage, working farms, assisted-living operations and properties with an active code case are harder. We will tell you quickly rather than after an appraisal has been ordered.
How the process runs
- Scenario. Address, property type, value, loan amount, expected rent and the entity you plan to use. We come back with the programs that fit and the coverage each one requires.
- Pre-qualification. Credit, reserves and entity documents are reviewed so we know which lender's appetite matches the file before anyone pays for an appraisal.
- Appraisal and rent schedule. The appraiser inspects, values and reports market rent. We read the rent comparables with you, not just the conclusion.
- Underwriting and conditions. Insurance, title, entity and reserves are cleared. This is where a landlord policy quote and a clean operating agreement earn their keep.
- Closing. The entity signs, title vests in the entity, and the loan is serviced by the lender that bought it.
Where the program does not fit
Two cases come up constantly. The first is a heavy renovation: if the property cannot rent in its current condition, there is no market rent to underwrite and the condition review will flag it. Bridge capital followed by a DSCR refinance is the right sequence.
The second is occupancy. A property you or your family will live in is a consumer mortgage, with a different rulebook and different licensing. This desk arranges business-purpose financing on non-owner-occupied property only, and we say so before anyone spends money.
What it costs, honestly
Pricing depends on the lender, the loan size, the property and the borrower profile, so there is no single answer we can put on a page — and we do not pretend otherwise. Broker compensation is disclosed in writing before you commit, whether it is paid by the lender or by you. Third-party costs such as the appraisal are yours and are not refundable if the file does not close.
Questions we get weekly
The four that decide most files.
What does a DSCR lender look at besides the rent?
Credit, verifiable reserves, the vesting entity, the property’s condition and the appraiser’s market rent opinion. Income documentation is not the deciding input, which is the entire point of the program.
Can I finance a property I have not leased yet?
Yes, on a purchase. The appraiser reports a market rent for the property and the loan sizes against that opinion. A vacant unit is not disqualifying; a market rent below the payment is.
Do I need to own other rentals?
No. First-time investors can finance, though the file carries more scrutiny of reserves and liquidity. Experience helps pricing and program access rather than deciding whether a loan exists at all.
Can the property be held in a trust or a partnership?
Some programs allow trusts, partnerships and corporations as borrowers, and some only accept limited liability companies. Tell us the vesting plan early so the entity is set up to match the lender’s requirements.
Send the address. We will tell you what it carries.
No appraisal fee until we have identified a lender whose program fits the property, the entity and the rent.