Every DSCR loan starts with the same question: how much will the lender lend against this property? The answer is the LTV (loan-to-value) cap, and it's the most consequential single number in any deal — it dictates the down payment, the cash-to-close, and whether the deal even pencils.
This guide is the full 2026 DSCR LTV matrix: every cap by transaction type, FICO band, DSCR ratio, property class, and borrower profile. Use it as a quick-reference before going under contract.
The Five Inputs That Set Your LTV
DSCR LTV stacks downward from a maximum based on five factors. Each one can subtract 5–15 percentage points if it's not optimal:
- Transaction type — purchase > rate-and-term refi > cash-out refi
- FICO band — 720+ unlocks the top tier; below 660 caps everything
- DSCR ratio — ≥1.20 unlocks 80%; sub-1.0 caps at 70% or no-ratio territory
- Property type — SFR best, then 2–4 unit, then condo, then 5+ unit, then condotel
- Borrower type — U.S. citizen > ITIN > foreign national
2026 DSCR LTV Master Matrix
| Scenario | Max LTV | Min Down |
|---|---|---|
| Purchase, 720+ FICO, DSCR ≥ 1.20, SFR, U.S. citizen | 80% | 20% |
| Purchase, 700+ FICO, DSCR ≥ 1.0 | 75% | 25% |
| Purchase, 680 FICO, DSCR ≥ 1.0 | 75% | 25% |
| Purchase, 660 FICO, DSCR ≥ 1.0 | 75% | 25% |
| Purchase, 640 FICO | 70% | 30% |
| Purchase, 620 FICO | 70% | 30% |
| Purchase, sub-1.0 DSCR (0.75–0.99) | 70% | 30% |
| Purchase, no-ratio program | 70% | 30% |
| Cash-out refi, 720+ FICO | 75% | 25% |
| Cash-out refi, 680–719 FICO | 70% | 30% |
| Cash-out refi, 660–679 FICO | 65% | 35% |
| Rate-and-term refi (no cash out) | 80% | — |
| Foreign national purchase | 70% | 30% |
| Foreign national cash-out | 65% | 35% |
| ITIN borrower purchase | 75% | 25% |
| 2–4 unit multifamily | 80% (740+ FICO) | 20% |
| 5+ unit multifamily | 70–75% | 25–30% |
| Warrantable condo | 80% (same as SFR) | 20% |
| Non-warrantable condo | 75% | 25% |
| Condotel purchase | 70% | 30% |
| Condotel cash-out | 65% | 35% |
| Short-term rental (Airbnb) purchase | 75–80% | 20–25% |
| Mixed-use (residential majority) | 70–75% | 25–30% |
| Rural property | 70–75% | 25–30% |
| First-time investor (no prior rentals) | 75% | 25% |
How LTV Is Actually Computed
LTV = Loan Amount ÷ Property Value. Two important wrinkles:
On Purchases:
Lender uses the lower of contract price or appraised value. If you're buying at $400K and the appraisal comes in at $390K, your LTV calc uses $390K. Bring extra cash, or renegotiate, or walk.
On Refinances:
Lender uses the appraised value. There's no contract price to constrain it. This is why post-rehab BRRRR refinances are so powerful — the new appraised value sets the new LTV.
Seasoning on Refinances:
To use the new appraised value (not the original purchase price), most DSCR programs require 3–6 months of ownership. Cash-out specifically: 6 months at most lenders, 3 months at some.
The 80% LTV Tier — What It Actually Takes
80% LTV is the published ceiling but it's not casually accessible. To get there in 2026, every box has to be checked:
Requirements for 80% LTV (20% Down)
- FICO ≥ 720 (mid-score)
- DSCR ≥ 1.20 on the subject property
- Loan amount $150K–$2M (sweet spot)
- SFR, 2–4 unit, or warrantable condo property type
- U.S. citizen or permanent resident
- 6 months PITIA reserves
- No mortgage lates in 24 months
- Purchase or rate-and-term refi (not cash-out)
The "Cliffs" That Drop LTV by 5%
Each of these cliffs takes you down a tier:
- FICO drops below 720: 80% → 75%
- FICO drops below 660: 75% → 70%
- DSCR drops below 1.20: 80% → 75%
- DSCR drops below 1.0: 75% → 70%
- DSCR drops below 0.75: 70% → no-ratio at 65–70%
- Cash-out instead of purchase: −5% LTV at every tier
- Foreign national status: 80% → 70%
- Condotel property: 80% → 70%
- Loan amount > $1.5M: typically −5%
- Loan amount > $3M: often −10% (jumbo DSCR territory)
Loan Amount Thresholds That Affect LTV
Loan size matters because larger loans are harder to securitize. Approximate cap structure:
| Loan Amount | Max LTV (Strong File) |
|---|---|
| $150K–$1M | 80% (sweet spot) |
| $1M–$1.5M | 80% |
| $1.5M–$2M | 75–80% |
| $2M–$3M | 70–75% |
| $3M–$5M | 65–70% (jumbo) |
| $5M+ | 60–65% (case-by-case) |
How to Push Your LTV Higher
Three tactical moves that often add 5–10 percentage points of LTV without changing the property:
- Boost FICO past the next break-point. 700→720 alone can flip 75% to 80% on a strong file.
- Choose interest-only. Lower IO PITIA can raise DSCR from 1.05 to 1.20 — jumping you from 75% to 80% LTV.
- Front-load the down payment with rehab capital. If you'd been planning 25% down + $40K rehab, sometimes 30% down on a turnkey unit comes in cheaper after closing costs and PPP factors.
Find Your Maximum LTV
30-second eligibility check. We quote multiple LTV scenarios.
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Related Resources
- DSCR Loan Down Payment Guide
- DSCR Loan Credit Score Matrix
- DSCR Loan Reserves Explained
- No-Ratio DSCR Loans
- 2026 DSCR Loan Requirements
DSCR Capital Partners is a brand of UTM Financial, LLC (NMLS #2591548), a licensed mortgage broker. LTV thresholds are illustrative and subject to lender-specific overlays. Informational only; not a loan commitment. Equal Housing Lender.