In this OfferMarket Podcast episode, Daniel and Martin share their origin story, Frank's story, and real estate wholesaling insights that led to OfferMarket.

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Frank's Wholesaling Crash Course - OfferMarket Podcast

OfferMarket Podcast, Episode 2: The Story of Frank, A crash course in wholesaling

**Last Update**: December 3, 2024

 

In the world of [real estate investing](https://www.offermarket.us/blog/how-to-invest-in-real-estate), understanding financial metrics is key to making smart decisions. One term that often comes up is DSCR, or Debt Service Coverage Ratio. This crucial figure helps investors and lenders assess whether a property generates enough income to cover its debt obligations, making it a vital tool in evaluating the financial health of an investment.

 

DSCR isn’t just a number; it’s a window into a property’s performance and risk level. Whether you're a seasoned investor or just starting out, knowing how [DSCR works ](https://www.offermarket.us/blog/how-does-a-dscr-loan-work)can guide you toward more profitable and secure investments. From securing loans to analyzing cash flow, this metric plays a pivotal role in real estate finance.

 

Grasping the basics of DSCR can empower anyone to navigate the complexities of property investments with confidence. But what exactly does it mean, and how is it calculated? Let’s dive in.

 

## What Is DSCR In Real Estate?

 

[Debt Service Coverage Ratio ](https://www.offermarket.us/blog/dscr-debt-service-coverage-ratio)(DSCR) is a metric used to evaluate a property's ability to produce enough income to cover its debt obligations. It measures the relationship between net operating income (NOI) and total debt servicing costs, including principal and interest payments. In real estate, lenders and investors rely on DSCR to assess financial feasibility and investment risk.

 

A DSCR greater than 1.0 indicates that a property generates sufficient income to meet its debt payments. For example, if a property's NOI is $120,000 and its annual debt servicing cost is $100,000, the DSCR would be 1.2. Conversely, a DSCR below 1.0 suggests the property may not adequately cover its debt expenses, signaling higher risk for lenders.

 

Lenders often set minimum [DSCR requirements](https://www.offermarket.us/blog/dscr-loan-requirements) for loans, typically ranging from 1.2 to 1.5, depending on property type and market conditions. For instance, commercial properties may require a higher DSCR due to varying income stability.

 

<div style="position: relative;width: 100%;overflow: hidden; padding-top: 56.25%;"> <iframe style="position: absolute; top:0; left:0; bottom:0; right:0; width: 100%; height: 100%;border: none;" src="https://www.youtube.com/embed/QBJw5lm-Ajs" title="YouTube video player" frameborder="0" allow="accelerometer; autoplay; clipboard-write; encrypted-media; gyroscope; picture-in-picture" allowfullscreen> </iframe> </div> 

 

## Importance Of DSCR In Real Estate Investments

 

DSCR is a vital tool in evaluating the financial sustainability of [real estate investments](https://www.offermarket.us/blog/reit). It provides insights into income stability and debt management.

 

### Assessing Property Viability

 

DSCR helps determine if a property can produce enough income to cover operational and debt costs. Properties with a DSCR above the lender's minimum threshold, often between 1.2 and 1.5, are seen as more viable. For example, a multifamily property with a DSCR of 1.3 indicates safety for lenders due to its ability to generate 30% more income than required for debt payments. Investors rely on this metric to evaluate cash flow potential and avoid negative income scenarios.

 

### Ensuring Loan Repayment Capability

 

Lenders use DSCR to reduce risk by ensuring a borrower's ability to meet debt obligations. A higher DSCR signals consistent income generation, which lowers default risk. Properties with DSCR values below 1.0 suggest insufficient income to cover loans, increasing financial risk. To mitigate this, lenders may deny loans or adjust interest rates for properties with unstable cash flow. For example, commercial loans commonly favor stable assets with DSCR levels of 1.4 or higher, ensuring continued repayment reliability.

 

## How To Calculate DSCR

 

[Calculating the Debt Service Coverage Ratio](https://www.offermarket.us/blog/how-to-calculate-dscr) (DSCR) helps evaluate a property's financial soundness. It's essential for determining if income sufficiently covers debt obligations.

 

![DSCR Formula Interest Only](https://cms.offermarket.us/uploads/DSCR_Formula_Interest_Only_9bcd6c02ff.jpg)

 

### Formula For DSCR

 

The formula for DSCR is:
DSCR = Net Operating Income (NOI) / Total Debt Service
- Net Operating Income (NOI) refers to the property's total income after deducting operating expenses but before debt payments.
- Total Debt Service includes both principal and interest payments on the property's loans.
For example, a property with an NOI of $120,000 and total annual debt service of $100,000 has a DSCR of 1.2.

 

### Residential Property

 

- NOI: $90,000
- Total Debt Service: $75,000
- Calculation: $90,000 ÷ $75,000 = 1.2
- Interpretation: The property generates 20% more income than the debt obligation, meeting most lender requirements.

 

### Commercial Property

 

- NOI: $250,000
- Total Debt Service: $200,000
- Calculation: $250,000 ÷ $200,000 = 1.25
- Interpretation: With a 25% buffer above debt payments, the property demonstrates financial stability.

 

### Underperforming Property

 

- NOI: $80,000
- Total Debt Service: $100,000
- Calculation: $80,000 ÷ $100,000 = 0.8
- Interpretation: The DSCR below 1.0 flags insufficient income to cover debt, signaling high financial risk to lenders.
These examples illustrate varying DSCR values and their financial implications for lenders and investors.

 

## Ideal DSCR Ratio For Real Estate

 

The [ideal DSCR ratio](https://www.offermarket.us/blog/what-is-a-good-dscr-ratio) in real estate fluctuates depending on property type, market conditions, and lender expectations. A well-defined DSCR threshold minimizes risk while ensuring a property’s investment viability.

 

### Understanding Safe DSCR Thresholds

 

A [DSCR ratio](https://www.offermarket.us/blog/what-is-dscr-ratio) of 1.2 or higher is commonly regarded as safe in real estate investments. Properties meeting this threshold generate at least 20% more income than required to service their debt. For instance, a residential property with a $100,000 annual debt service and a $120,000 net operating income results in a DSCR of 1.2. Such properties balance profitability with manageable risk.

 

DSCRs below 1.0 indicate insufficient income to meet debt service, signifying elevated financial risk. Properties with such ratios often encounter difficulties securing loans or attract higher interest rates as lenders attempt to offset risk. Conversely, DSCRs exceeding 1.5 showcase strong financial performance and higher loan approval potential, particularly for stable income-generating assets.

 

### Industry Standards And Variations

 

DSCR benchmarks vary across industry sectors and property types. Residential properties typically require a minimum DSCR of 1.2 to 1.3, suitable for income stability and consistent cash flow. Commercial properties, given their income fluctuations and higher operating expenses, demand stricter ratios ranging from 1.3 to 1.5. For example, an office building in a competitive market may secure financing with a DSCR of 1.4, reflecting [lender](https://www.offermarket.us/blog/private-lender) caution.

 

Economic trends and market conditions also influence ideal DSCR standards. During downturns, lenders may demand higher DSCR thresholds to mitigate default risk, while competitive lending environments might feature relaxed requirements. Experienced investors align their financial strategy with prevailing DSCR standards to optimize loan approval and enhance investment outcomes.

 

## DSCR's Role In Securing Financing

 

Debt Service Coverage Ratio (DSCR) is a vital metric in real estate financing. Lenders rely on DSCR to evaluate a property's financial stability and determine loan approval and terms.

 

### DSCR And Lender Requirements

 

Lenders set DSCR thresholds to minimize risk. Typically, they require a minimum DSCR between 1.2 and 1.5, depending on the property type. For instance, residential properties often need a 1.2 DSCR, while commercial properties might require a 1.3 or higher. Higher ratios reduce the lender's perception of default risk, making the investment more attractive.

 

If a property's DSCR falls below the lender's minimum, loan denial or stringent terms may follow. To address shortfalls, borrowers can increase [NOI](https://www.offermarket.us/blog/noi-net-operating-income) by raising rental rates or reducing expenses or opt for lower loan amounts to meet DSCR criteria.

 

### DSCR's Influence On Loan Terms

 

DSCR affects loan terms like interest rates, loan amounts, and repayment periods. Properties with higher DSCRs are eligible for lower [interest rates ](https://www.offermarket.us/blog/dscr-loan-interest-rates)due to their lower risk profile. For example, a property with a DSCR of 1.35 may secure more favorable terms compared to one with a DSCR of 1.1.

 

Lenders may adjust loan amounts based on DSCR. A property with insufficient cash flow may qualify for a reduced principal, ensuring repayment feasibility. Additionally, longer repayment periods might be offered to borrowers with stronger DSCRs, improving cash flow stability across the loan term.

 

## Conclusion

 

Understanding DSCR is essential for making informed real estate investment decisions and securing favorable financing terms. This metric provides valuable insights into a property's income stability and financial health, helping investors and lenders assess risk with confidence. A strong DSCR not only enhances loan approval chances but also ensures sustainable cash flow management. By mastering DSCR calculations and aligning with lender benchmarks, investors can optimize their strategies and build a more resilient portfolio.

 

## Frequently Asked Questions

 

**What is the Debt Service Coverage Ratio (DSCR) in real estate?**
 DSCR, or Debt Service Coverage Ratio, is a financial metric used in real estate to evaluate if a property's income is sufficient to cover its debt obligations. It is calculated as the ratio of Net Operating Income (NOI) to total debt service (principal and interest payments). A DSCR above 1.0 indicates a property generates enough income to cover its debts, while a DSCR below 1.0 indicates insufficient income.

 

**Why is DSCR important for real estate investors and lenders?**
 DSCR helps both investors and lenders assess the financial health and risk level of a property. A higher DSCR indicates a lower risk of loan default and a more financially stable investment. It's essential for securing loans, evaluating cash flow, and determining a property's viability.

 

**How do you calculate DSCR?**
 DSCR is calculated using the formula:
DSCR = Net Operating Income (NOI) ÷ Total Debt Service
NOI includes total income minus operating expenses (before debts), while Total Debt Service includes the property's loan principal and interest payments. For example, if a property has a NOI of $120,000 and debt service of $100,000, its DSCR is 1.2.

 

**What is considered a “good” DSCR in real estate investing?**
 A "good" DSCR typically depends on the market and property type. Generally, a DSCR of 1.2 or higher is considered good, as it shows the property generates at least 20% more income than needed to cover its debt. Commercial properties commonly require a higher DSCR, around 1.3 to 1.5.

 

**What happens if my property’s DSCR is below 1.0?**
 A DSCR below 1.0 indicates that a property’s income isn't enough to cover its debt obligations, increasing financial risk. This can result in loan denial, higher interest rates, or stricter loan terms. To improve DSCR, you can increase NOI (raise rent, reduce expenses) or lower the loan amount.

 

**How does DSCR affect loan approval and terms?**
 Lenders use DSCR to assess loan risks. Properties with a higher DSCR are more likely to secure loans with better interest rates and favorable terms. Conversely, a lower DSCR may result in loan denial or higher interest rates, as it signals greater risk for default.

 

**What is the ideal DSCR for commercial properties?**
 Commercial properties typically require higher DSCRs due to income stability concerns. Most lenders set minimum DSCR requirements between 1.3 and 1.5, meaning the property must generate 30-50% more income than its debt obligations to qualify for financing.

 

**How do market conditions impact DSCR benchmarks?**
 Economic trends and market conditions often influence DSCR benchmarks. In a strong market, lenders may set higher DSCR requirements to minimize risk. Conversely, in a stagnant market, lower DSCR thresholds might be acceptable to encourage lending.

 

**Can I improve DSCR without reducing my loan amount?**
 Yes, you can improve DSCR by increasing Net Operating Income (NOI). This could involve raising rental prices, reducing operating expenses, or improving property management for better cash flow. These strategies can help you meet DSCR requirements without adjusting your loan amount.

 

**How does a high DSCR benefit real estate investors?**
 A high DSCR signals strong financial stability and reduces lender-perceived default risk. This often leads to better loan terms, such as lower interest rates, higher loan amounts, and longer repayment periods, enhancing overall cash flow and facilitating better long-term investment growt

 

 

## DSCR Loan Quote

 

![DSCR loan quote](https://cms.offermarket.us/uploads/DSCR_loan_quote_c3ae268aed.jpg)

 

Our mission is to help you build wealth through real estate. Let's grow and optimize your rental property portfolio!

 

- Get your instant [DSCR loan quote](https://www.offermarket.us/loans?ref=content) today!
- Save big on premiums with our [landlord insurance rate shopping service](https://www.offermarket.us/insurance?ref=content)!
- Interested in exclusive investment opportunities? [Browse off market properties](https://www.offermarket.us/listing?ref=content) now!
- Join our [Facebook community](https://www.facebook.com/OfferMarketUS) to stay up-to-date with the latest platform updates and market insights.
- Subscribe to our [Youtube channel](https://www.youtube.com/@offermarket) for our monthly DSCR loan update.

What is DSCR in real estate? Discover the debt service coverage ratio, its calculation, and its crucial role in real estate investments and securing financing.

What Is DSCR in Real Estate Understanding Debt Service Coverage Ratio for Investors

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What Is DSCR in Real Estate Understanding Debt Service Coverage Ratio for Investors.jpg

What Is DSCR in Real Estate? Investor’s Guide

What Is DSCR in Real Estate? Understanding Debt Service Coverage Ratio for Investors

**Last updated:** April 16, 2024

 

![DSCR Loan Ohio - Cover Photo](https://cms.offermarket.us/uploads/DSCR_Loan_Ohio_Cover_Photo_b621666b69.jpg)

 

You deserve the best DSCR loan Ohio has to offer. OfferMarket Capital is a leading DSCR lender and Ohio is one of our fastest growing markets. Why? Because Ohio has several rental property markets that are ideal for DSCR loans. What does that mean? Rents are high relative to home value, resulting in strong DSCR that supports high LTV. 

 

![DSCR calculation](https://cms.offermarket.us/uploads/DSCR_Formula_081f5a7d48.png)

 

Whether you have a time sensitive purchase or refinance, or you're new to DSCR loans and doing your homework, we would love the opportunity to be your DSCR lender.

 

 Today's DSCR loan quotes and rate locks are in the **7.375%** to **8.25%** range depending on LTV, property type, and prepayment penalty. If structuring your DSCR loan terms to meet your goals and get your next purchase or refi transaction to the finish line is your priority, then [we should talk](https://www.offermarket.us/loans?ref=blog-dscr-loan-ohio). 

 

Let's review the merits of DSCR loans, how you can use them to grow your Ohio rental property portfolio, and how to choose the right DSCR lender.

 

## DSCR Loans Ohio

 

DSCR loans are mortgages for rental properties. DSCR stands for debt service coverage ratio, a simple cash flow metric that indicates whether a rental property can sufficiently cover its mortgage payment. A DSCR of 1.0 means the property is at cash flow breakeven which a DSCR above 1.0 means the property more than covers its mortgage payment. A DSCR below 1.0 means the property does not generate enough income to cover its mortgage payment and therefore the owner must contribute additional cash on a monthly basis or raise rent.

 

As interest rates rise and remain elevated, rental properties in Ohio and much of the midwest continue to be an attractive investment for investors seeking cash flow and optimal [cash on cash returns](https://www.offermarket.us/real-estate-glossary/cash-on-cash-return). All else equal, the higher the interest rate, the lower the DSCR. During periods of elevated interest rates, it's important to invest in rental properties that generate strong rents relative to as is value. This is similar to the 1% rule -- a popular concept among rental property investors that encourages screening for deals where rents will be 1% or more of the cost basis of the property (purchase price, closing costs and rehab). Properties too far below 1% may not generate enough income to cover the mortgage at your target LTV (DSCR is too low). When DSCR is too low at your target LTV, you will need to accept a lower LTV which means you'll need to have a higher down payment. Even if a higher down payment is feasible, it is certainly not ideal if you're focused on optimizing your cash on cash returns.

 

## DSCR Loan Requirements

 

<div style="display: grid; grid-template-columns: repeat(1, minmax(0, 1fr)); overflow: auto; white-space: nowrap;">
<table>
<thead>
<tr>
<th></th>
<th>OfferMarket</th>
<th>Other DSCR Lenders</th>
</tr>
</thead>
<tbody>
<tr>
<td>Interest Rate</td>
<td><a href="https://www.offermarket.us/loans" target="_blank" rel="noopener noreferrer">Get Instant Quote</a></td>
<td><a href="https://www.offermarket.us/blog/dscr-loan-interest-rate-index" target="_blank" rel="noopener noreferrer">Get Instant Quote</a></td>
</tr>
<tr>
<td>LTV Purchase</td>
<td>80%</td>
<td>75%</td>
</tr>
<tr>
<td>LTV Rate and Term Refi</td>
<td>80%</td>
<td>75%</td>
</tr>
<tr>
<td>LTV Cash Out Refi</td>
<td>75%</td>
<td>70%</td>
</tr>
<tr>
<td>Minimum DSCR</td>
<td>1.1</td>
<td>1.2</td>
</tr>
<tr>
<td>Minimum Credit Score</td>
<td>660</td>
<td>680</td>
</tr>
<tr>
<td>Borrower Experience</td>
<td>0+</td>
<td>1+</td>
</tr>
<tr>
<td>Appraisal</td>
<td>Direct (save $250)</td>
<td>AMC (waste $250)</td>
</tr>
<tr>
<td>Seasoning</td>
<td>None</td>
<td>6 Months</td>
</tr>
<tr>
<td>Origination Fee</td>
<td>0.5% to 1%</td>
<td>2% to 3%</td>
</tr>
<tr>
<td>Junk Fees</td>
<td>None</td>
<td>Common</td>
</tr>
<tr>
<td>Time To Close</td>
<td>15 - 25 Days</td>
<td>30 - 60 Days</td>
</tr>
<tr>
<td>Quoting</td>
<td><a href="https://www.offermarket.us/loans" target="_blank" rel="noopener noreferrer">Instant</a></td>
<td>Slow</td>
</tr>
<tr>
<td>Pre-Approval Letter</td>
<td><a href="https://www.offermarket.us/loans" target="_blank" rel="noopener noreferrer">Instant</a></td>
<td>Slow</td>
</tr>
<tr>
<td>Processing</td>
<td>Online, Fast</td>
<td>Manual, Slow</td>
</tr>
</tbody>
</table>
</div>

 

## DSCR Loan Calculator

 

In order to calculate the loan amount that your rental property purchase or refinance will qualify for, we recommend using a [DSCR calculator](https://www.offermarket.us/tools/dscr-calculator). It's important to understand the inputs that lenders use to calculate DSCR, this way you can screen investment opportunities and set proper expectations regarding loan-to-value, cash to close and cash on cash returns.

 

### Purchase Price or As Is Value

 

For purchase transactions, the DSCR calculation uses the lower of the purchase price or As Is value from the appraisal report. For refis, the As Is value from the appraisal report is used. The higher the As Is value, the greater the chance that DSCR will not support maximum LTV. For example, let's say you used the BRRR method on a rental property in Shaker Heights, OH. After your rehab you get the property leased for $2,000 and then the property appraises for $290,000 with a market rent of $1,900. Ultimately, with interest rates elevated, the rental income is only enough to cover closer to 65% LTV than the 75% LTV maximum for cash out refi.

 

### Rents

 

Most DSCR lenders take the lower of actual in place rent and market rent opinion in your appraisal report. This is why it is critically important keep your lease agreements as close to market rent as possible, and to work with a lender that orders appraisals with appraisers who are experts in rental properties in the local market. If the property is vacant, the market rent opinion from the appraisal will serve as the input for the DSCR calculation.

 

### Property Tax Rate

 

The higher the property tax rate, as verified by the most recent tax bill for the subject property, the lower the DSCR. Ohio property taxes are higher than the national average and, depending on the city, can be a substantial drag on DSCR.

 

### Property Management

 

While property management is a very real expense that eats into your Net Operating Income, the numerator of the DSCR formula, many lenders do not include property management in their DSCR calculation. If you are not sure if you will use a property management company, to ensure you get the highest possible loan amount, it's best to self manage initially and make that final decision after your DSCR loan is originated.

 

### Utilities

 

If your tenants are not paying utilities, your DSCR calculation will include utilities as an expense that reduces Net Operating Income and therefore DSCR. We recommend always having your tenants pay all utilities.

 

### Maintenance

 

Some DSCR lenders include a specific maintenance amount in your DSCR calculation. This may be a $500 or $1,000 annual expense that will reduce your DSCR slightly.

 

## DSCR Loan Interest Rates

 

[DSCR loan interest rates](https://www.offermarket.us/blog/dscr-loan-interest-rate-index) are historically highly competitive with conventional loans for investment properties, and bank loans. During times of economic uncertainty, the DSCR market can become volatile as credit investors including life insurance companies, pension funds, mortgage REITs pause purchases or demand higher interest rates to compensate for an increase in perceived risk. During these times, the firms that aggregate DSCR loans for securitization may demand a higher yield. Ultimately 

 

## DSCR Loan Down Payment

 

For purchases, the lowest down payment available among leading DSCR loan programs is 20% (80% LTV). Many rental property investors look for 85% LTV and we urge you to be cautious if a lender tells you they can provide 85% LTV. 

 

DSCR lenders do a liquidity verification and request up to three months of bank statements. You can use brokerage accounts and retirements accounts as well to confirm you have enough funds to cover your down payment, closing costs and have a healthy buffer in case your tenant is vacant or an eviction is required.

 

## DSCR Loan Credit Score

 

DSCR loans are highly sensitive to borrower credit score. The minimum credit score requirement to qualify for a DSCR loan is 660. The lower the credit score, the lower your LTV and higher your interest rate. Most lenders require a credit score of 720 and higher in order to qualify for the highest LTV that your DSCR supports.

 

Most DSCR loan program guidelines require a [tri merge report](https://www.offermarket.us/blog/what-is-a-tri-merge-credit-report) which is a hard pull for all three credit bureaus (Experien, Transunion and Equifax). The highest and lowest scores are ignored and the middle score use used.

 

## DSCR Loan Prepayment Penalty

 

DSCR loans in Ohio, just like the rest of the U.S., typically have a prepayment penalty. The 3 year, 3-2-1, and the 5 year, 5-4-3-2-1, are the most common options. Learn more about the concept of a [prepayment penalty](https://www.offermarket.us/real-estate-glossary/prepayment-penalty).

 

## DSCR Minimum Loan Amount

 

Most DSCR lenders have a minimum loan amount of $75,000. Our minimum loan amount is currently $65,000 for a single property loan and $50,000 for a portfolio loan of 2 or more properties. 

 

## DSCR Portfolio Loan Ohio

 

If you are buying or refinancing 2 or more rental properties in Ohio, you can use a DSCR portfolio loan. During periods of market volatility, DSCR portfolio loans may carry a slightly higher interest rate and a slightly lower LTV. If your total portfolio loan amount is high enough, you may be able to qualify for a lower minimum loan and As Is value for individual properties within the portfolio.

 

## Best Ohio Markets For DSCR Loans

 

Due to DSCR loan program guidelines, because the majority of DSCR loans are pooled into securitizations, your rental property cannot be considered "rural". While the definition of rural varies by lender, the appraisal report cannot be marked as "rural" -- it would need to be marked "suburban" instead. Even if the property is marked as "suburban" on the appraisal report, the lender may deem the property to be rural if it shows as rural on the [CFPB Rural and Underserved Areas Tool](https://www.consumerfinance.gov/rural-or-underserved-tool/), if the local population is below 20,000, or if a simple Google Maps view shows the property is in an area with limited infrastructure -- schools, hospitals, places of worship, grocery stores -- and far from other population centers (in other words, the middle of nowhere).

 

These are the best rental markets in Ohio if you want to use a DSCR loan:

 

<div style="display: grid; grid-template-columns: repeat(1, minmax(0, 1fr)); overflow: auto; white-space: nowrap;">
<table>
<thead>
 <tr>
 <th>City</th>
 <th>Population</th>
 <th>County</th>
 </tr>
</thead>
<tbody>
 <tr>
 <td>Columbus</td>
 <td>940,000</td>
 <td>Franklin County</td>
 </tr>
 <tr>
 <td>Cleveland</td>
 <td>365,000</td>
 <td>Cuyahoga County</td>
 </tr>
 <tr>
 <td>Cincinnati</td>
 <td>313,000</td>
 <td>Hamilton County</td>
 </tr>
 <tr>
 <td>Toledo</td>
 <td>266,000</td>
 <td>Lucas County</td>
 </tr>
 <tr>
 <td>Akron</td>
 <td>188,000</td>
 <td>Summit County</td>
 </tr>
 <tr>
 <td>Dayton</td>
 <td>136,000</td>
 <td>Montgomery County</td>
 </tr>
 <tr>
 <td>Parma</td>
 <td>81,000</td>
 <td>Cuyahoga County</td>
 </tr>
 <tr>
 <td>Canton</td>
 <td>70,000</td>
 <td>Stark County</td>
 </tr>
 <tr>
 <td>Lorain</td>
 <td>65,000</td>
 <td>Lorain County</td>
 </tr>
 <tr>
 <td>Hamilton</td>
 <td>64,000</td>
 <td>Butler County</td>
 </tr>
 <tr>
 <td>Kettering</td>
 <td>58,000</td>
 <td>Montgomery County</td>
 </tr>
 <tr>
 <td>Springfield</td>
 <td>58,000</td>
 <td>Clark County</td>
 </tr>
 <tr>
 <td>Youngstown</td>
 <td>58,000</td>
 <td>Mahoning County</td>
 </tr>
 <tr>
 <td>Elyria</td>
 <td>52,000</td>
 <td>Lorain County</td>
 </tr>
 <tr>
 <td>Middletown</td>
 <td>52,000</td>
 <td>Butler County, Warren County</td>
 </tr>
 <tr>
 <td>Dublin</td>
 <td>52,000</td>
 <td>Franklin County, Delaware County, Union County</td>
 </tr>
 <tr>
 <td>Cuyahoga Falls</td>
 <td>51,500</td>
 <td>Summit County</td>
 </tr>
 <tr>
 <td>Newark</td>
 <td>50,500</td>
 <td>Licking County</td>
 </tr>
 <tr>
 <td>Lakewood</td>
 <td>50,500</td>
 <td>Cuyahoga County</td>
 </tr>
 <tr>
 <td>Euclid</td>
 <td>50,000</td>
 <td>Cuyahoga County</td>
 </tr>
 <tr>
 <td>Mentor</td>
 <td>47,500</td>
 <td>Lake County</td>
 </tr>
 <tr>
 <td>Mansfield</td>
 <td>47,500</td>
 <td>Richland County</td>
 </tr>
 <tr>
 <td>Strongsville</td>
 <td>47,000</td>
 <td>Cuyahoga County</td>
 </tr>
 <tr>
 <td>Beavercreek</td>
 <td>47,000</td>
 <td>Greene County</td>
 </tr>
 <tr>
 <td>Fairfield</td>
 <td>45,500</td>
 <td>Butler County</td>
 </tr>
 <tr>
 <td>Cleveland Heights</td>
 <td>45,000</td>
 <td>Cuyahoga County</td>
 </tr>
 <tr>
 <td>Huber Heights</td>
 <td>45,000</td>
 <td>Montgomery County, Miami County</td>
 </tr>
 <tr>
 <td>Delaware</td>
 <td>43,000</td>
 <td>Delaware County</td>
 </tr>
 <tr>
 <td>Grove City</td>
 <td>43,000</td>
 <td>Franklin County</td>
 </tr>
 <tr>
 <td>Reynoldsburg</td>
 <td>42,500</td>
 <td>Fairfield County, Franklin County, Licking County</td>
 </tr>
 <tr>
 <td>Lancaster</td>
 <td>41,000</td>
 <td>Fairfield County</td>
 </tr>
 <tr>
 <td>Westerville</td>
 <td>40,000</td>
 <td>Franklin County, Delaware County</td>
 </tr>
 <tr>
 <td>Findlay</td>
 <td>40,000</td>
 <td>Hancock County</td>
 </tr>
 <tr>
 <td>Hilliard</td>
 <td>40,000</td>
 <td>Franklin County</td>
 </tr>
 <tr>
 <td>Warren</td>
 <td>38,500</td>
 <td>Trumbull County</td>
 </tr>
</tbody>
</table>
</div>

 

## DSCR Lenders Ohio

 

You have many choices when it comes to selecting a DSCR lender in Ohio. At OfferMarket, our mission is to help you build wealth through real estate. We accomplish this mission by providing you with the best possible terms, every single quote, every single loan, every single time.

 

📉 Lower interest rates 
💸 Lower origination fee 
💰 Higher LTV 
🛎️ Better service 
👨‍💻 Better technology 
⚡ Faster time to close 
📅 No seasoning 

 

## How to apply for a DSCR loan

 

Applying for a DSCR loan has never been easier. **[Submit our DSCR loan application](https://www.offermarket.us/loans)** for an instant quote and download your pre approval letter in minutes. We do not pull your credit when you submit your application, that is only done once you e-sign our credit release authorization, a later step in our processing once you confirm your intent to proceed with OfferMarket as your DSCR lender.

 

See how much you qualify for, **[get your instant DSCR loan quote](https://www.offermarket.us/loans)** today!

Find the best DSCR Loan Ohio offers for rental property investors. Enjoy low rates, high LTV, and low origination fees for your investment.

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DSCR Loans for Rental Property Investors in Ohio

DSCR Loan Ohio

Grow your real estate investing business with the most competitive DSCR loan product. OfferMarket also provides DSCR rental loans, bridge loans, hard money, fix & flip, rehab, ground up construction loans.

Rental Loans

Types of loans from hard money and private lenders

Private lender cash out refinance

Get a quote from OfferMarket Capital

A **private lender** is a person or business that provides loans directly to real estate investors. Private lenders typically provide capital to investors who would otherwise have a difficult time qualifying for or obtaining a loan from a bank or financial institution. In many cases because the loan is for a property in poor condition, or the borrower does not have a W-2 source of income.

 

## Types of loans from hard money and private lenders

 

- bridge loans (fix and flip, [BRRR](https://www.offermarket.us/real-estate-glossary/brrr-buy-rehab-rent-refinance))
- rental loans and [cash out refinance](https://www.offermarket.us/real-estate-glossary/cash-out-refinance)
- rental portfolio loans

 

Private loans are typically guaranteed by the borrower and collateralized (backed) by real estate or other assets of the borrower. 

 

## Private lender cash out refinance

 

If you own a rental property individually or in an LLC, you can easily refinance to a lower interest rate and pull cash out in the process.

 

## [Get a quote from OfferMarket Capital](https://www.offermarket.us/capital)

 

Take your real estate investing to the next level with OfferMarket Capital. Access the most competitive and transparent rates on bridge loans (fix and flip) and 30 year fixed rate rental loans (purchase and refinance).

 

### Related terms

 

- [Private Lender Data Feed](https://www.offermarket.us/blog/private-lender-data-feed)
- [Hard Money]((https://www.offermarket.us/real-estate-glossary/hard-money)

What is a Private Lender? Learn about private lending and how to find private lenders for your real estate investments.

*Quote takes 1 minute, no credit pull

*1 quote from 40+ carriers

*New listings daily

What is a Private Lender in real estate?

* Takes 2 minutes, no credit pull

Types of loans from hard money and private lenders

Private lender cash out refinance

Get a quote from OfferMarket Capital

* Takes 2 minutes, no credit pull