What is debt service coverage ratio lending? Commonly called DSCR lending, it allows borrowers to qualify for a real estate loan based on the rental income that a property generates.  Rather than reviewing personal income, employment or tax returns, the lender divides the property’s rental income by its total debt payments to check whether the rent can cover the mortgage.  For investors living overseas who want US rental income, this approach can reduce the challenges of documenting complex finances or multiple income streams.

Comparing the best DSCR lenders for expats can help you find an option suited to earning US rental income while managing your investment from abroad.

Kiavi

Kiavi uses technology-driven lending to speed up applications and automate much of the underwriting process, reducing paperwork and supporting quicker decisions. Its digital-first platform operates across 45 states, although it is licensed in 13.

Kiavi is particularly well-suited to experienced investors financing single-family rentals.

Automation brings trade-offs, especially for borderline applications that may benefit from a human underwriter’s judgement. And newer investors may find the streamlined system challenging because it assumes familiarity with investment property finance.

Angel Oak

Angel Oak specialises in non-qualified mortgages and offers DSCR loans for investors and larger property portfolios. Available loans range from $100,000 to $3 million, covering purchases, cash-out refinancing, rate-and-term refinancing and delayed financing.

Angel Oak accepts short-term rentals supported by AirDNA reports, permits ownership through LLCs, corporations or trusts and considers DSCR ratios below 1.0, including no-DSCR options. However, some users report slower funding than technology-led competitors.

Griffin Funding

When choosing a DSCR lender, Griffin Funding leads the way in terms of flexibility and fast approvals. The firm also combines competitive rates with investor-friendly policies.

Griffin Funding offers loans up to $4 million, 30-year fixed and interest-only options, and no minimum DSCR requirement.

Griffin is licensed in 46 states plus Washington DC. Complete files may be funded in as little as six calendar days.

Easy Street Capital

Easy Street Capital provides business-purpose financing for rental purchases, fix-and-flip projects and new-home construction. Investors can generate their own term sheets online, which can make the initial process quicker and more straightforward.

However, the terms shown online may change after discussions with a loan officer or later in the lending process.

Easy Street Capital also serves investment properties exclusively. So, its products are unsuitable for financing a primary residence or a holiday home intended for personal use.

The Best DSCR Lender for Expats

How do you choose the right lender? It largely depends on your property type, experience, preferred application process and need for underwriting flexibility.

So, you should compare loan limits, credit requirements, DSCR thresholds, and funding times. Also, look at whether each lender supports the ownership structure or financing option you plan to use.

And for investors living overseas, a clear digital process may make managing the application easier from abroad.

Before deciding, review each lender’s terms or contact them directly to discuss your property, finances and investment plans. And check out some of the other related content on our website.