DSCR Loans in California

Start or scale your real estate investment portfolio in California with a DSCR loan. DSCR loans in California enable investors to qualify for a mortgage using rental income rather than personal income. No tax returns or employment verification required.

  • Obtain financing based on cash flow 
  • No-income mortgage solution 
  • Buy or refinance short- and long-term rentals 
  • Unlimited cash-out
  • Competitive DSCR loan rates in California
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Areas We Serve

Griffin Funding offers mortgage loans across the state of California. We serve the following areas and more:

  • San Diego
  • Del Mar
  • Coronado
  • Chula Vista
  • Point Loma
  • La Jolla
  • Truckee
  • Oceanside
  • San Clemente
  • Orange County
  • Los Angeles
  • San Francisco
  • Palm Springs

Real Estate Investment Financing in California

Debt service coverage ratio (DSCR) loans allow real estate investors to qualify for a mortgage based on a property’s cash flow rather than personal income. Instead of reviewing tax returns or pay stubs, we prioritize a property’s DSCR — which measures its income versus its debt obligations — to make a lending decision. This offers a flexible mortgage solution for real estate investors looking to build or expand their portfolio. 

DSCR loans can be used to purchase or refinance long-term and short-term rental properties, with financing available for many different property types and no limit on the number of properties financed. Access up to $20 million in financing while enjoying a streamlined underwriting process with no income or employment verification. 

Visit our DSCR loan page to learn more about this type of financing and see today’s rates. Contact Griffin Funding or get started online to take the first step towards securing a DSCR loan in California. 

Frequently Asked Questions

Approval for a debt service coverage ratio loan in CA depends on various factors, such as creditworthiness, the property’s cash flow, your ability to make a down payment, and current market conditions. If you have a DSCR ratio of 1 or higher then you are more likely to be approved for a DSCR loan in California, as this demonstrates to the lender that you’re able to repay the loan. However, keep in mind that Griffin Funding will accept a DSCR ratio below 1 in some cases.

When applying for a DSCR loan in California, make sure to carefully review the qualification requirements and prepare any necessary documentation ahead of time. Consult with a Griffin Funding specialist to review all factors and determine your eligibility for a DSCR loan in California.

No, DSCR loans can only be used to purchase income-generating properties. This type of financing is suited for real estate investors rather than those seeking out a primary residence.

If you are searching for a home to live in, consider other mortgage options, such as traditional home loans, which can be used to secure a primary residence. If you’re wondering whether a DSCR loan in California is right for you or you want to explore other mortgage options, reach out to Griffin Funding today. Our loan specialists can walk you through current DSCR loan requirements and rates in California or suggest other types of home loans for your situation.

The process for obtaining a DSCR loan in California is typically faster than other types of investment loans. Without having to submit personal financial information, the application and underwriting process is more streamlined and straightforward. Once approved, the loan amount is funded and quickly deposited into your account.

At Griffin Funding, we aim to close on California DSCR loans in 30 days or less, however the exact timeline will vary based on factors like the complexity of the loan, the loan amount, and whether the borrower and property being financed meet all qualifications.

Some of the main downsides of DSCR loans include:

  • Higher interest rates compared to conventional loans
  • Can only be used for investment properties (no primary residences)
  • 20% minimum down payment (15% considered in some cases)
  • Prepayment penalties
  • No fixer-uppers allowed

In general, you can expect DSCR loan rates in California to be slightly higher than rates for conventional mortgages. Your DSCR loan rate will be affected by factors such as your:

Yes, Griffin Funding offers cash-out and rate-term refinances using a property’s rental income instead of your personal income.

Yes! Griffin Funding offers DSCR loans for short-term rental properties, including Airbnb and VRBO homes, throughout California. Instead of using tax returns, you can qualify for investment property financing in California based on expected rental income, which can be verified with AirDNA reports, bank statements, or an appraiser’s market rent analysis.

  • DSCR loans for vacation rentals, Airbnbs, and VRBOs
  • Accept market rent or short-term rental income projections
  • No personal income required
  • Up to 80% LTV and interest-only options available

We work with new and experienced investors and provide fast closings, personalized service, and flexible DSCR guidelines to help you scale your short-term rental portfolio in competitive markets like San Diego, Los Angeles, Sacramento, and coastal vacation hubs.