Investment Property Loans
Plan a rental purchase or refinance around the property’s income, costs and your investment goals.
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Rental purchase and refinance paths
Investment financing can follow a conventional borrower-income approach or a property-income approach such as a DSCR loan. Residential DSCR financing generally focuses on eligible rental income relative to the property’s qualifying payment, rather than qualifying through personal W-2 income and a standard personal debt-to-income calculation.
That does not mean no underwriting. Credit, equity, reserves, valuation, property condition and the income evidence still matter. We help you compare the documentation, costs and ownership structure with your investment plan.
Rental cash flow
Compare long-term rent and short-term rental assumptions, vacancy and operating costs. Start your financing plan →
DSCR or documented income
Choose the underwriting path that fits the property and borrower. Start your financing plan →
Purchase or refinance
Review leverage, reserves and the long-term hold or exit plan. Start your financing plan →
Smart home financing starts with strategy
Our value is in the comparison and the plan: matching the financing to your goals, explaining the costs, and coordinating the details with you and your agent. Program availability and lender fit depend on the transaction.
Long-term rentals and short-term stays
A long-term lease and a short-term rental or Airbnb can require different income evidence. Ask how the lender evaluates leases, operating history, market rent or short-term revenue. Confirm local licensing, zoning, association restrictions and insurance before relying on a rental plan.
Underwrite the investment yourself
Budget for vacancy, repairs, taxes, insurance, management, utilities and reserves. Review ownership structure, prepayment terms, guarantees and your exit plan. A business-purpose DSCR loan should not be used to misrepresent an owner-occupied home as an investment.
DSCR: the ratio and the real-world cash flow
Residential rental DSCR = accepted gross monthly rent ÷ qualifying monthly PITIA. PITIA means principal, interest, property taxes, insurance and association dues. The program determines which payment and rent figure it accepts; an interest-only loan may still be qualified using a different payment calculation.
A 1.00 ratio means qualifying rent equals PITIA. At 1.25, qualifying rent is 25% above PITIA—but that is not a 25% profit margin. Vacancy, management, maintenance, utilities, leasing and capital expenditures still reduce your actual cash flow. Higher coverage may help program options or pricing; 1.25 does not guarantee the best rate.
Some programs consider coverage below 1.00, sometimes described as below-one or no-ratio financing. Those are program-specific options and may involve different equity, credit, reserve or pricing requirements. Do not assume a universal “Near-DSCR” product.
Long-term rent and short-term revenue need different evidence
Long-term rental: bring the lease if one exists, comparable local rents and any required appraiser’s rent schedule. The lender decides which income evidence and adjustments apply.
Short-term rental: look at occupancy, seasonal nightly rates, comparable properties and operating costs. AirDNA and its Rentalizer tool can help estimate short-term rental revenue. They are research tools, not guaranteed income, property appraisals or permission to operate an STR.
We have Non-QM financing paths that may accept eligible third-party short-term rental projections, including AirDNA reports, under the specific program’s rules. Those rules can require revenue reductions, comparable-property support, report dates or other evidence. Confirm that approach with our team before relying on a projection. AirDNA’s short-term estimates should not substitute for long-term lease market evidence.
Check local licensing, zoning and association restrictions separately. An attractive revenue forecast cannot override a rule that prevents the intended rental use. For other documentation options, explore our Non-QM / Alternative Financing guide.
Qualification, LLC ownership and the full cost of the loan
Some eligible DSCR structures can close in an LLC or other approved business entity name. Entity documents, ownership, guarantees and title requirements still apply; trust eligibility is a separate program question. Holding title in an entity does not by itself remove personal liability.
| Item to compare | What our team reviews |
|---|---|
| Credit and equity | Credit history, property type, transaction and coverage. A 660–680 score or 20–25% down payment is not a universal requirement. |
| Reserves | Eligible assets and required post-closing reserves. A 3–6 month figure may fit one program and not another; retirement assets may be treated differently from cash. |
| Loan costs | Rate, points, fees, valuation, escrows and prepayment terms. Do not assume a fixed premium over conventional financing. |
| Cash-out refinance | Program-specific leverage, seasoning, valuation and cash-out limits—not a universal 75% LTV cap. |
| Portfolio and timing | Existing property exposure, loan limits and documentation. Property-income qualification does not guarantee an unlimited portfolio or a 21-day close. |
Ask our team to run your investment scenario. Start with purchase or refinance, the price or estimated value, requested loan amount and realistic monthly rent. We can outline the financing and reserve requirements that apply to your deal.
Estimate rental coverage and operating cash flow
Use a supported rent or revenue estimate, then test both the financing ratio and the expenses that affect the investment. For an STR, you can enter an AirDNA projection manually and adjust it; the selected program determines the acceptable income and adjustment.
Example assumptions only. Enter the property figures and select Estimate.
How this estimate works: fully amortizing P&I at a constant rate, plus taxes, insurance and association dues. LTR coverage uses entered gross rent. STR coverage uses annual gross revenue ÷ 12, reduced by your entered program haircut. The sample 20% haircut is not a universal lender rule. Estimated operating cash flow separately deducts your vacancy/management/maintenance allowance, PITIA and other costs from gross revenue. It excludes income taxes and costs you have not entered. This residential-rental DSCR is different from a commercial NOI/debt-service calculation. No AirDNA data is fetched automatically; enter a supported estimate and ask our team which income evidence the program accepts.
Want a copy of the results?
Run your calculator scenario above, then request a copy of the illustrative results.
Photograph by Shehab Al-Qadhi; resized. Source · Pexels License. Illustrative photograph.
Explore Mortgage Calculators
Compare purchase, refinance and affordability scenarios, then let our team help turn the estimate into a financing plan.
Questions worth asking
Many residential DSCR programs qualify using eligible property income rather than personal W-2s or tax-return income. Credit, equity, assets, reserves and property review still apply. We will identify the actual documentation needed.
Some programs allow an approved LLC or other business entity. Ownership documents, title, guarantees and program requirements matter. Bring the entity details so our team can confirm the structure before the contract or closing documents are finalized.
Certain Non-QM programs may accept eligible AirDNA or other third-party STR projections with required adjustments and documentation. Our team will confirm the rules for your property. A forecast does not establish future income or permission to operate a rental.
No. It only indicates accepted rent covers the qualifying housing payment. Operating costs, vacancy and replacements still need to be paid. Use the calculator on this page to separate the ratio from an estimated operating cash-flow result.
Potentially. Value, equity, rent, transaction history, seasoning and program limits determine the options. We can compare cash-out and rate-and-term structures without assuming a specific leverage cap applies.
DSCR versus a conventional investment mortgage
A conventional investment mortgage reviews the borrower’s income, debts and the rental documentation permitted by the program. A DSCR path puts more emphasis on eligible property income relative to the lender’s required payment calculation. Credit, equity, reserves and property review still matter. “Rental-income qualification” does not mean no underwriting.
For a planning example only, $3,000 of eligible monthly rent divided by a $2,500 qualifying housing payment gives a ratio of 1.20. A lender may use a different denominator, income adjustment or minimum ratio. The calculation is not the property’s profit after vacancy, repairs and management.
Before you make an offer on a rental
- Separate a long-term lease plan from a short-term rental plan. Revenue projections need support, and local rules can change what you are allowed to operate.
- Review property taxes, insurance, HOA restrictions and a realistic operating budget alongside financing costs.
- Compare a fixed rate with an adjustable structure, points, reserves and any prepayment charge.
- If you plan to refinance after improvements, ask how seasoning, value and rental evidence could affect the next loan.
Useful references: Fannie Mae rental-income guidance and landlord operating-budget guidance. These explain conventional planning; they are not universal DSCR program rules.
What our clients say
Paul and his team helped me with a very complicated transaction for a cash out mortgage. I would highly recommend him.
Paul was great. He helped us understand our loan better and put our needs first. I’d strongly recommend his services. Throughout our home buying process, Paul Cederholm demonstrated the highest level of professionalism throughout our home loan process, an amazing ability to explain complex mortgage terms in simple language and a willingness to work evenings and weekends to meet our closing deadline. We got our home purchase loan in Chicago thanks to Paul Cederholm. I would absolutely recommend Paul Cederholm for your home loan because I would recommend Paul. You can trust him and he is very informative. We can't recommend Paul Cederholm enough for your home financing needs.
My overall experience working with Paul was fantastic! All his help made the whole process seem easy. Throughout our home buying process, Paul Cederholm demonstrated a talent for making the mortgage process seamless and stress-free, truly professional lending services that exceeded our expectations and a knack for shopping rates and locking in an amazing deal for us. He is humble and easy-going, which made us feel at ease. I would absolutely recommend Paul Cederholm for your home loan because paul is a truly amazing advisor: el mejor! Without his help, our dream of owning our first home would not have been possible. After our introductory call ended, my husband and I looked at each other and said, "He is the one!" We were absolutely right.
Paul exceeded our expectations by offering excellent advice and answering our questions before we even had to ask them (mind reader!). Paul always had our best interests at heart, and his dedication and passion showed in every conversation. We are thankful to have worked with someone trustworthy and honest; someone who went above and beyond for us.
Thank you, Paul, for taking all of our doubts and worries away.
Thank you for cheering us on!
We absolutely recommend you and your team to anyone looking for the best mortgage advisor. We can't recommend Paul Cederholm enough for your home financing needs.
Exceptional experience with Paul and his team! We knew we wanted to work with Paul not long into our introductory call. He put us at ease as he explained all the details of what it would take to get into our first home. Numbers are scary when it comes to such a large purchase, but he walked us through the documents in a way that was easy to comprehend. He made sure we understood the information and answered all the questions we had before proceeding to the next task. He was always available for a call, through text, and email. Never once did we feel uncomfortable or like we were not being heard and understood. We got the best rate available to us based on our information and also helped us get a rate buy-down! Thank you, Paul and your team, for everything you did. We look forward to working with you again should the time come to refinance or get into a different home. Paul Cederholm brought impressive expertise across mortgage products that helped us find the perfect fit, incredible dedication to finding us the best mortgage rate and a willingness to work evenings and weekends to meet our closing deadline. I'd tell anyone looking for a home loan to call Paul Cederholm — highly recommend Paul and his team as we felt comfortable, understood, and empowered throughout the entire process!. I would highly recommend Paul Cederholm — truly an exceptional mortgage professional.
(Translated by Google) Excellent service from Cederholm.
(Original)
Excelente atendimento de Cederholm.
Working with Paul and his team was an absolute dream! We had a particularly complex transaction, Paul made navigating feel easy and less stressful.
Paul and his team were absolutely amazing! Insanely fast response time to any question I had and amazing explanations throughout the whole process. I can’t imagine using another broker ever again!
If you are looking for a mortgage broker for your next home purchase, I highly recommend Paul Cederholm and his team at Cederholm Mortgage Advisors 🏡.
Paul helped me plan the financing for my new home, and I am so grateful for his guidance throughout the process. At the beginning, I felt nervous because the home buying process can feel very intimidating. With Paul’s care, patience, and expertise, I grew into a confident home buyer by the time we reached closing 🌿.
Paul was always available to answer my questions and explained everything in a clear, supportive, and non-intimidating way. He stayed one step ahead throughout the loan process and helped ensure my loan approval moved along quickly and smoothly.
Paul also has a wonderful team. Their attention to detail and clear communication helped me feel supported and never overwhelmed during the process 🌸.
I truly loved working with Paul. He was wonderful to have by my side during such an important step in my life. If you are looking for a knowledgeable and caring mortgage advisor who will guide you every step of the way, I wholeheartedly recommend Paul Cederholm and his team.
Buying my first house was an exceptional experience because Paul was tremendously helpful, and communicative. I can’t thank him and his team enough and highly recommend!!!
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Recently I had the pleasure of working with Paul and I can confidently say that my experience was nothing short of exceptional.
Trust is a crucial element when it comes to financial decisions, He took the time to understand my unique needs and goals, ensuring that every step of the process was transparent and tailored specifically to me. I never felt rushed or pressured; instead, I felt supported and empowered to make informed choices. Whether it was providing insights into market trends or introducing me to other professionals who could assist with my financial journey, Paul went above and beyond to ensure I had access to the best tools and information available.
I can say that Paul genuinely cares about his clients and strives to build lasting relationships. I can't recommend him enough for anyone looking for a mortgage broker who feels like family, fosters trust, and provides invaluable resources. Thank you, Paul, for making this experience so positive and rewarding!
We started the process in June and closed in November because we were indecisive and Paul was patient, he heard our request and never pushed us to buy until we were comfortable with our purchase. Luckily, he waited on us and we closed on the perfect home. We loved his 24/7 availability for us even on his vacation days. Thanks for an amazing work !
Paul is a great lender, my clients love working with him. He is very detailed oriented, organized, responsive. Always trying to find the best program/rates for everyone. I truly recommend his services.
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You and your team were very helpful throughout the entire process! I could always rely on you to help answer questions and be available at all times. I would highly recommend!
Paul was amazing to work with! Unbelievable response times and guided us through every step of the process.
Paul was great to work with - so friendly, understanding and helpful! We felt very cared for throughout the process and he never made us feel like we were bothering him with our questions. He was always upfront and honest and we are so grateful for his help!
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We bought an amazing Condo in the heart of DTC. Paul was very helpful and made us, first home buyers, feel very confident in the process of buying a home. I would highly recommend!
Paul went above and beyond to get all the numbers to work for us. He was available for questions at any time, even at the most unusual times. He consistently would give us updates and let us know that everything was going well or immediately would call us if there are any issues. The whole process went incredibly smoothly and made the home buying process super easy!
Thank you Mr Paul, you were truly amazing and on top of everything! Love your proactive approach in covering all anticipated requests ahead of putting into UW. Your professionalism and high level expertise truly shines thru and I’m so glad we connected through the grapevines. Can’t thank you enough and look forward to doing this again!
My wife and I worked with Paul when purchasing our first and second home. He was recommended to us from a trusted friend so we decided to go with him when trying to find the best loan for us. Going into it, we had no idea what we were doing but Paul was extremely attentive, did a great job explaining the details, and I felt like he always put our needs first. It was a pleasure working with Paul and we will definitely be working with Paul again in the future!
Was a great experience working with Edge to get into our first home. Everything was made easy and clear for us to understand
Paul was excellent! He communicated all of our options and so we can make the best decision possible! He kept us informed the entire time as to where we were in the process so we were able to have a smooth and efficient closing!
Working with Paul and his team was amazing! Paul was straight to the point, gave us guidelines on what to and not to do, made us feel comfortable buying a home, and made it a very simple process. We will forever work with Paul and continue to recommend him to everyone we know!
Paul was absolutely amazing to work with. He kept us in the loop through EVERY step of the home mortgage process. He took the extra time to explain things we didn’t understand, and also had all of our best interests in mind. I truly felt like we were in the best hands possible when it comes to a big financial decision! We can’t thank you enough!!!
Paul was incredible! He made my first-time home buying experience way easier than I had expected. He was incredibly knowledgable and more than willing to explain anything I wasn't sure of. He was super helpful throughout and made the whole process go smoother than I thought was possible.
Paul is amazing! I would highly recommend working with him. He is so responsive and truly cares about each and every client. There are no questions left unanswered when working with Paul and he makes the home buying process easy peasy.
Paul is full service. That is a hard thing to find anymore, and I am proud to be partnered with such a professional, creative, customer-oriented loan officer. His system and process is streamlined and user friendly, making the buyer’s process less stressful, and making my job easier. I love the level of communication on every transaction, and Paul always asks if there is anything that he could improve on; constantly striving to be the best. I have raving reviews from our mutual clients. Paul is an excellent choice when you need a home loan! Highly recommend.
Working with Paul was an incredible experience. I was the listing agent for Sellers and he was the lender for the Buyer. He promised a smooth transaction up from and that’s exactly what we received. He met every deadline, early in fact, and was on the ball with keeping us updated every step of the way. His communication and correspondence was spot on. Thank you, Paul, for such a great experience and a smooth transaction!
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Hands down the easiest financial process I have ever been through. I refinanced my home loan with Paul and his team and I just sat back and relaxed while they did their thing. It was a quick and seamless process. I can’t thank Paul enough for his advice and expertise. Paul’s personal attention and his availability throughout the process always made me feel like I was his only client. Top notch service! I highly recommend Paul and his team.
Great team and service. Answered all of our questions and made sure we understood the refinance process. 10/10 recommend!
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Paul was wonderful to work with during our home-buying experience! He was very professional, personable and patient as we worked thru the various scenarios available to us, and was true to his word when he said it was his number 1 goal to ensure we were left in a better situation than when he'd come to us. Thanks to Paul's efforts and diligence, we got precisely the outcome we were looking for, and couldn't be happier!
I highly recommend Paul and his team. They worked their way and explained each step to me and what was expected of me to be quick and efficient. Thank you for a great experience.
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Paul is a great lender he made the process painless and was very informative. He helped get our credit up and rate down so we could get the best situation for our house purchase.
I recommend Paul for any financing you may need!
Paul has been one of the easiest Lenders to work with. Super honest businessman and extremely knowledgeable. I will continue to do business with him. He is a great and trustworthy lender!
Paul is straight up a rockstar. If you have a deal that a lender said can’t be done, or they don’t know how to fix. Paul has the answers and can get the job done. Very creative when it comes to helping structure his clients Loans and giving the advice to get the deal closed. He is an amazing lender partner.
It is truly a pleasure partnering with Paul Cederholm! He is an exceptional Loan Officer who deeply cares for his clients and those he works with. As a Realtor, it is extremely important to have industry partners that value your clients as much as you do. He will jump through all the hoops needed to be able to get the best product for the client and close the deal all while impeccably communicating each step to all that are involved. Thank you Paul for taking such great care of my clients!
Paul was extremely helpful with the refinance process. He kept us in the loop during the entire process and when the original plan fell through, he was able to work a new plan that turned out better than the original. Thanks Paul!
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Plan your next move
Bring your goals and a property address if you have one. Paul Cederholm, mortgage expert and real estate financing strategist, can help you compare the financing choices and plan your next step.
Ready to begin? Start your loan application. Prefer a direct conversation? Call 303-931-6798.
*Information, scenarios, and calculations are for educational and illustrative purposes only—not a loan offer, a commitment to lend, a rate quote or an approval. Programs, costs and qualification requirements depend on the borrower, property, selected lender and current guidelines. Examples are not guaranteed results. Our team can review the details for your situation.
*Information, scenarios, and calculations are for educational and illustrative purposes only—not a loan offer, a commitment to lend, a rate quote or an approval. Programs, costs and qualification requirements depend on the borrower, property, selected lender and current guidelines. Examples are not guaranteed results. Our team can review the details for your situation. These tools do not replace a Loan Estimate, an underwriting decision, or legal or tax advice. Check all figures before relying on them; Cederholm Mortgage Advisors does not warrant the accuracy or completeness of estimates and, to the extent permitted by law, is not responsible for losses arising from reliance on these tools. This notice does not waive rights that cannot legally be waived.