Lenders Defend Offering DSCR Loans with Negative Cash Flow

Inside Mortgage Finance, June 15, 2022–Brandon Ivey
As counterintuitive as it may seem, some non-agency lenders are touting their debt service coverage ratio loans for investments properties where the income generated isn’t sufficient to cover the monthly mortgage payment. (Such loans have a DSCR ratio of less than 1.0.)
https://www.insidemortgagefinance.com/articles/224900-lenders-defend-offering-dscr-loans-with-negative-cash-flow?v=preview