Buy a rental property
Compare down payments, estimated payments, cash needed at closing and the income required to support a proposed loan.
Explore the first-purchase pathRental-property financing
Finance your rental
using the property’s income.
Buying or refinancing an Airbnb, Vrbo or traditional rental? Compare estimated rates and payments using the property’s income. Eligible programs do not require personal tax returns or W-2s.
Free registration required to view estimated rates and save your research. No sales call required. Contact our team when you choose. Estimates are subject to lender review.
Start with your financing objective.
The same property can produce different decisions depending on your loan balance, available cash and plans.
Review an existing loan
Compare your current financing with a rate-and-term refinance. Include closing costs, prepayment costs and the time you expect to keep the loan.
Explore rental refinance considerationsEvaluate cash out
Estimate how additional debt changes proceeds, retained equity, payment and debt coverage. Include a downside income scenario before deciding.
Explore the property review processHow DSCR works
Can permitted rental income support the loan?
Debt service coverage ratio, or DSCR, compares qualifying rental income with the payment obligation defined by the lender. For many residential rental programs, that obligation includes principal, interest, taxes, insurance and applicable association dues.
A lender decides which income evidence it accepts, how it adjusts that income and what minimum ratio applies. Documented STR revenue, an approved market report and long-term comparable rent are not interchangeable across every program.
Property income may be central to qualification, but credit, liquidity, reserves, leverage, ownership and property eligibility still matter.
Read financing questions and answersIllustrative calculation
A $375,000 loan on a $500,000 property
- 25% down: $125,000, before other closing costs
- Assumed 30-year fixed rate: 7.00%
- Monthly principal and interest: approximately $2,495
- Assumed taxes, insurance and HOA: $600 per month
- Total monthly obligation: approximately $3,095
- Assumed qualifying rent: $4,000 per month
- Illustrative DSCR: approximately 1.29
At an assumed 1.20 target ratio, the income needed is approximately $3,714 per month.
Hypothetical assumptions—not available loan terms or a universal lender requirement. Operating cash flow also reflects expenses beyond this payment calculation.
Cash preserved versus payment saved
Compare the whole structure.
A larger down payment may reduce the loan and payment, but leaves less cash available for furnishings, repairs, reserves or another purchase.
Compare leverage, rate, points, payment, prepayment terms and cash needed together. Where eligible options are available, save the structure you want our team to review.
Zero points does not mean zero closing costs. Lender, third-party, processing and other applicable charges still need to be included.
Understand financing tradeoffs
Match the financing review to the rental model.
Short-term rentals
Review operating history, seasonality, permitted use and lender-accepted income evidence. Market estimates help research a deal; the lender determines acceptable qualification income.
Short-term rental financingMid-term rentals
Review furnished-rental contracts, rental periods, vacancy assumptions and the lender’s permitted documentation method.
Mid-term rental financingLong-term rentals
Review leases, current rents, market rents, expenses and property condition. Confirm the lender’s treatment of vacant or newly acquired property.
Long-term rental financingWhat must be true for this financing to work?
The property and income fit.
Rental use is permitted, the property meets program requirements, and the lender accepts the income evidence. Verify local rules and association restrictions independently.
The cash plan is complete.
Available capital covers closing, initial work and required reserves. Include outstanding debt and any prepayment charge in refinance estimates.
The terms fit your timeline.
Consider how points, an interest-only period where available, and prepayment terms affect your intended hold or refinance plan.
The downside is manageable.
Test lower income and higher expenses. A qualifying DSCR does not guarantee profitable operations or make a property suitable for your goals.
From analysis to transaction
Get value before requesting a meeting.
- Analyze: enter and verify the address, review income assumptions and preliminary financing.
- Save: keep the property and chosen option in your workspace.
- Request review: ask our team to assess the package and explain missing information.
- Apply: proceed through the appropriate application and secure document process when ready.
Our team arranges eligible business-purpose financing through third-party lenders and coordinates the transaction. The lender makes the credit decision.
Ready for human review?
Before you choose a loan
Is DSCR financing the only option?
No. Conventional investment-property financing may deserve comparison when your personal income, ownership and property circumstances qualify. Business-purpose and consumer loans have different requirements. A second-home loan must match its occupancy and use representations.
Can an LLC own the property?
Some business-purpose programs permit eligible entities. Entity documents, guarantors, title and state requirements still apply. Review ownership decisions with your attorney and CPA.
Are the displayed rates live offers?
The screenshots are captured examples. Your app outputs are preliminary and depend on the scenario, program data and assumptions. Availability and final terms require verification, underwriting and the applicable rate-lock process.
Does a refinance always save money?
No. Compare closing and prepayment costs, the new loan balance, payment and remaining loan term. A lower payment can reflect a longer repayment period rather than lower total cost.
When does my credit get checked?
The preliminary property check does not pull credit. A formal financing application may require credit authorization and additional borrower information.
Start with the property.
Compare your next move.
Analyze the income, understand the cash required, and prepare a financing package for review.
Preliminary estimates are not an application, approval, rate lock or commitment. Financing is subject to lender underwriting, borrower and property eligibility, documentation, applicable licensing and state requirements. STR Advisory does not fund loans, make credit decisions or guarantee rental income or financing outcomes.