What credit score do I need for a DSCR loan?
The short answer
Many DSCR programs start around a 660 credit score, and some accept scores in the low 600s with a bigger down payment and a higher rate. The best pricing usually starts in the 700s. The Mortgage Advisory can tell you which programs fit your score with a soft look first, before any hard credit pull.
How does credit affect a DSCR loan?
Credit is one of the biggest drivers of your rate and down payment:
| Credit score | What to expect |
|---|---|
| 740 and up | Best pricing and the lowest down payment options |
| 680 to 739 | Solid options, slightly higher rate |
| 620 to 679 | Fewer programs; usually more down and a higher rate |
| Under 620 | Very limited; often better to fix credit first |
These are general ranges. Each program sets its own.
Do late payments matter?
Yes, especially recent mortgage late payments. Many programs want a clean mortgage history for the last 12 months. Older issues like a past foreclosure or bankruptcy usually need a waiting period, often several years.
How can I raise my score before I apply?
- Pay credit card balances down below about 30% of the limit, ideally lower
- Don't open new credit in the months before you apply
- Fix errors on your credit report
- Ask me for a rapid rescore: if you pay something down, your lender can often update your score in days instead of waiting a month
Our take
A small bump in your score can save real money on a rental you'll hold for years. If you're close to the next tier, I'll tell you exactly what to pay down and we'll rescore before we lock.
Ace Ausar, Mortgage Banker · NMLS #1143018
The Mortgage Advisory, Inc. · NMLS #1549739
Reviewed by Ace Ausar, NMLS #1143018 · Updated
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