Live rates · last refreshed May 17, 2026
Strongest-Tier DSCR Rate
6.50% – 6.875%
760+ FICO · 65% LTV · 1.25+ DSCR · 5-yr prepay · SFR
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DSCR loan rates in May 2026 range from 6.50% to 9.25% across the full pricing spread. The 2.75% gap between best-tier and worst-tier pricing reflects how heavily DSCR lenders weight FICO, LTV, and property type. A 760-FICO investor on a 65% LTV purchase pays nearly 3 points less than a 620-FICO investor on an 80% LTV cash-out — same loan amount, same lender.

This page is the working rate sheet — what we're actually quoting this week across our wholesale lender panel. Updated weekly, more often when markets move. Use the tables below to find your tier, then request a quote tied to your exact file.

DSCR Rate by FICO Score Tier

FICO is the single biggest driver. The pricing tiers in non-QM break at 620, 660, 680, 700, 720, 740, and 760 — each tier adds or subtracts 0.125–0.375% on the same file.

FICO TierDSCR Capital PartnersMarket AverageNotes
760+6.50–7.25%7.00–7.75%Strongest tier — best pricing
740–7596.75–7.50%7.25–8.00%Premium tier
720–7397.00–7.75%7.50–8.25%Strong tier
700–7197.25–8.00%7.75–8.50%Standard tier
680–6997.50–8.25%8.00–8.75%Mid tier
660–6797.75–8.50%8.25–9.00%Lower tier — LTV capped at 75%
620–6598.25–9.25%8.75–9.50%Weakest tier — LTV capped at 70%

Indicative pricing. Final rates depend on the full file profile. Assumes 70% LTV purchase, SFR, 1.20 DSCR, 5-year prepay penalty, $300K–$1M loan size.

DSCR Rate by LTV

Each 5% LTV increment adds roughly 0.125–0.250% to your rate. The 65% LTV vs 80% LTV spread is meaningful — ~0.50% on the same file.

Loan-to-ValueRate Add (vs 65% LTV)Max LTV available
65% LTVBase (no add)Standard
70% LTV+0.125%Standard
75% LTV+0.250%Standard
80% LTV+0.500%Requires 700+ FICO
85% LTV+0.875%Limited programs · 740+ FICO

DSCR Rate by DSCR Ratio

Lower DSCR = higher risk for the lender = higher rate. Sub-1.0 ("no-ratio") programs exist but price meaningfully higher.

DSCR RatioRate Add (vs 1.25+ DSCR)Notes
1.25+ DSCRBase (no add)Strongest tier
1.10–1.24 DSCR+0.125%Standard tier
1.00–1.09 DSCR+0.375%Tight cash flow
0.75–0.99 DSCR+0.875%Sub-1.0 program · LTV capped at 70%
No-Ratio (DSCR not run)+1.250%LTV capped at 65% · 700+ FICO

Want Your Exact Rate?

The tables above are tier averages. Your actual quote depends on FICO, property, DSCR, loan size, and prepay — we'll quote it across 8–12 wholesale investors and tell you who wins.

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What Drives DSCR Loan Rates: The 6 Pricing Factors

Lenders blend these six factors into a single rate quote. Understanding each lets you predict where your file lands before applying.

FICO Score Highest impact

Biggest driver. Each tier worth 0.125–0.375%. The 620→760 spread on the same file is ~2.00%.

Loan-to-Value High impact

Each 5% LTV step worth 0.125–0.250%. The 65%→80% LTV spread is ~0.50%.

DSCR Ratio Medium impact

1.25+ is best tier. Each 0.10 drop below 1.25 costs ~0.125%. Sub-1.0 enters specialty pricing.

Prepayment Penalty Medium impact

5-yr declining prepay (5-4-3-2-1) is base. 3-yr prepay (3-2-1) adds ~0.250%. No prepay adds 0.50–0.75%.

Property Type Variable impact

SFR is base. 2-4 unit adds 0.125%. 5+ unit adds 0.25–0.50%. Condotel/non-warrantable adds 0.375–0.75%.

Loan Size Low impact

Sweet spot is $200K–$1.5M. Sub-$150K and over $2M start adding 0.125–0.375%.

How DSCR Rates Compare to Other Investment Loan Rates

DSCR pricing sits between conforming investment loans (cheapest) and hard money / bridge loans (most expensive).

Loan TypeTypical 2026 Ratevs DSCR
Conventional Investment (Fannie/Freddie)6.00–7.25%-0.50–0.75% vs DSCR (cheaper)
DSCR Loan (this page)6.50–9.25%Baseline
Bank Statement Loan7.00–9.00%Similar to DSCR
Foreign National DSCR7.75–9.75%+1.00–1.25% vs DSCR
Hard Money / Bridge9.00–12.00%+2.50–3.50% vs DSCR
California Bridge ($1M+)8.50% IOSpecialty product, 14–21d close

Why DSCR is more expensive than conventional: DSCR loans are non-QM — they sit outside Fannie Mae / Freddie Mac guidelines, so lenders hold them on portfolio or sell to private securitizations rather than to the agencies. That risk premium is roughly 0.50–0.75% on identical files.

How to Get the Lowest DSCR Loan Rate on Your File

  1. Maximize your FICO before applying. Pull your tri-merge report, dispute errors, pay down revolving balances below 30% utilization. 30 days of cleanup can move you a tier.
  2. Aim for 65–70% LTV if your down payment allows. The 75% → 70% LTV step saves more in lifetime interest than the extra cash invested gives up in opportunity cost on most files.
  3. Pick a property with strong DSCR. A 1.30 DSCR property gets better pricing than a 1.05 DSCR property — and is safer cash flow. Run rent comps before going under contract.
  4. Accept the prepayment penalty. The 0.50–0.75% rate hit for no-prepay only makes sense if you'll refi or sell within 2–3 years.
  5. Shop wholesale, not retail. Wholesale brokers quote against 8–12 lender programs simultaneously. Retail desks at direct lenders quote one program.
  6. Use a 5/1 or 7/1 ARM if your hold horizon is short. ARMs price 0.250–0.500% below 30-year fixed at origination. If you'll sell or refi inside the fixed period, you save real money.

Frequently Asked Questions

What are DSCR loan rates today?

As of May 2026, DSCR rates run 6.50–9.25% depending on FICO, LTV, DSCR, property type, and prepay. Strongest tier: 6.50–7.25%. Standard files: 7.00–8.00%. Weaker tier: 8.00–9.25%.

Why are DSCR loan rates higher than conventional mortgage rates?

DSCR loans are non-QM — outside Fannie/Freddie guidelines. The lender prices in the risk of underwriting against rental income vs borrower income. Expect ~0.50–0.75% premium over comparable conforming investment loans.

What is the lowest DSCR loan rate I can get?

6.50–6.875% for the strongest tier: 760+ FICO, 65% LTV, 1.25+ DSCR, 5-yr prepay, SFR property, standard close.

How often do DSCR rates change?

Wholesale lenders refresh rate sheets weekly, sometimes mid-week if Treasury rates move. Quotes honored 14–21 days. Locks are 30–45 days standard.

Does paying more origination points lower my rate?

Yes — roughly 0.25% rate reduction per 1.00 point. Break-even is usually 6+ years. Worth it for long-hold files, not flips or short-term holds.

Are DSCR loan rates fixed or adjustable?

Both available. Most DSCR lenders offer 30-yr fixed, 5/1 ARM, 7/1 ARM, and 10/6 ARM. ARMs price 0.250–0.500% below fixed at origination.

Related Resources

All rates indicative — final quotes depend on file specifics and current market conditions. Rate sheet updated weekly based on wholesale lender pricing across our investor panel. DSCR Capital Partners is a brand of UTM Financial, LLC (NMLS #2591548). Not a loan commitment. Equal Housing Lender.