Longleaf Lending Long Beach California DSCR Loans

DSCR Loans in Long Beach California:
Modern Financing for Investors

Veteran-owned lender, offering investors DSCR Loans in Long Beach California for no-income-verification, hassle-free long-term financing.

Modern, long-term financing solutions

Why Choose Longleaf Lending for Your Long Beach California DSCR Loan Needs

Crafted with savvy Long Beach California investors in mind, our Long-Term DSCR Loans enable wealth building through a diverse portfolio of rental properties. By prioritizing your investment property's rental income and cash flow metrics, we simplify the loan process. As a top DSCR lender, enjoy competitive interest rates starting at 6.5%.

No Income Verification
Our no-income-verification process eliminates traditional barriers, focusing on your investment's cash flow to qualify you for a loan. This DSCR-centered approach ensures a hassle-free experience, catering specifically to real estate investors' unique needs.
Tailored to Investment Goals
Whether you're investing in short-term vacation rentals or long-term leases, our DSCR loans are crafted to align with your strategic investment plans. This versatility ensures that whatever your goals, our financing solutions fit perfectly.
Efficiency and Speed
At Longleaf Lending, we value your time. Our Long Beach California DSCR loan application and approval processes are optimized for efficiency, ensuring quick, smooth progress from your initial application to the final funding.
Adaptive Financing Solutions
Our financing options are as diverse as the properties you invest in. We're committed to offering flexible DSCR solutions that accommodate a wide range of property types and investor profiles.

Fast and simple

How Longleaf Lending's DSCR Loans Work

DSCR (Debt Service Coverage Ratio) loans are a type of financing used by real estate investors that focus on the income generated by the property rather than the personal income of the borrower. Here’s a simplified explanation:

Calculation.
The DSCR is calculated by dividing the property's Net Operating Income (NOI) by its total annual debt payments. NOI reflects the positive cash flow from the property after operating expenses (mortgage payment, taxes, and insurance) are subtracted.
Criteria for approval.
For Long Beach California, we typically require a DSCR greater than 1.0, indicating the investment property generates sufficient cash flow to cover its debt obligations. A common threshold is a DSCR of 1.0 to 1.2 or higher, but it is possible to go lower.
No personal income verification.
The approval process emphasizes the property’s cash flow potential, not the borrower's personal financial situation, allowing for more accessible financing for investors.
Craftsman house

DSCR Loan Terms

Get the financing you need to build wealth with real estate in Long Beach California using our DSCR long-term 30-year investor loans.

Terms current as of April 25, 2024

Long Term Rental Loan
Loan Value:
$75,000-$2,000,000
LTV:
Up to 80% (as is)
Interest Rate:
Starting at 6.5%
Points:
2-3
Term:
30 years
Closing Time:
As fast as 2 weeks
FICO:
600 minimum

DSCR Loan Requirements Simplified

Understand DSCR Loan Long Beach California Requirements

Securing a DSCR Loan in Long Beach California involves a focused evaluation of your experience, liquidity, credit score, and investment property's income potential. Here's a summary of the current requirements you should know before applying for a DSCR Loan in Long Beach California:

DSCR Calculation:
Minimum of 0.65x
Credit Score:
600 minimum
Loan Amount:
$75,000 to $3 million
Investor Experience:
none required
US Citizenship:
not required
Documentation:
Some of the key required documents include personal ID, bank statements, entity documentation if using a company (operating agreement, EIN letter, articles of incorporation), lease agreement (if currently leased), appraisal (requrested by us), and the purchase HUD (if purchased in the last 12 months).
Occupancy:
Short or long-term rentals, vacant or occupied
Property Type:
SFR, 2-4 units, multifamily 5+ units, mixed use, or commercial
DSCR Loan Long Beach California requirements

Designed for Long Beach California investors

Build wealth through real estate with our DSCR Loans in Long Beach California

Long Beach California's Real Estate Potential: Ideal for 30-Year Rental and Long-Term DSCR Loans

Long Beach California long term rental property loans

Unlocking Long Beach's Real Estate Potential with DSCR Loans

Elevate your investment game in the vibrant market of Long Beach, California, with the invaluable tool of DSCR loans. Discover why DSCR loans are tailor-made for the unique characteristics of the Long Beach real estate landscape and how they can amplify your investment success.

DSCR, or Debt Service Coverage Ratio, loans, are specialized financing options specifically designed for income-producing properties such as rental apartments, commercial buildings, and mixed-use developments. Unlike traditional mortgages that heavily rely on borrower creditworthiness, DSCR loans prioritize the property's ability to generate income sufficient to cover debt obligations.

Here's why DSCR loans are the perfect fit for the Long Beach real estate market:

  1. Thriving Coastal Economy: Long Beach boasts a thriving economy anchored by its bustling port, vibrant tourism industry, and diverse array of businesses. As one of California's major economic hubs, Long Beach offers investors a fertile ground for real estate investment. DSCR loans seamlessly align with Long Beach's robust economic environment, providing investors with the financial flexibility needed to capitalize on its coastal prosperity.
  2. Strong Rental Demand: Long Beach's desirable location, excellent weather, and vibrant cultural scene attract residents and tourists alike, driving demand for rental properties. Whether it's beachfront condos, trendy urban apartments, or commercial spaces, DSCR loans empower investors to finance income-generating properties and tap into Long Beach's lucrative rental market. With competitive terms and favorable interest rates, DSCR loans make it easier for investors to seize opportunities in Long Beach's thriving real estate scene.
  3. Tailored Financing Solutions: DSCR loans offer customized financing solutions tailored to the unique needs of income-producing properties. Whether you're investing in multifamily residences, retail spaces, or office buildings, DSCR loans provide the flexibility and scalability required to achieve your investment objectives. With extended loan terms and customizable repayment schedules, investors can optimize cash flow and maximize returns on their Long Beach real estate investments.
  4. Risk Mitigation: By focusing on the property's income-generating potential rather than solely relying on the borrower's credit history, DSCR loans help mitigate risk for lenders and investors alike. This risk-based approach provides a more accurate assessment of the property's investment value and enhances the overall risk-reward profile of Long Beach real estate investments.

Investing in Long Beach real estate offers strategic advantages beyond financial returns:

  • Coastal Lifestyle: Long Beach offers residents and visitors a coveted coastal lifestyle with miles of sandy beaches, waterfront dining, and recreational opportunities. This desirable lifestyle factor enhances the attractiveness of Long Beach real estate investments, making them appealing to both tenants and investors alike.
  • Strategic Location: Situated in close proximity to Los Angeles and Orange County, Long Beach enjoys a strategic location with easy access to major highways, airports, and cultural attractions. This central location provides investors with access to a diverse pool of tenants and investment opportunities.
  • Diverse Community: Long Beach is known for its diverse and inclusive community, with vibrant neighborhoods, cultural festivals, and a thriving arts scene. This rich tapestry of cultures adds value to Long Beach real estate investments, fostering long-term tenant retention and property appreciation.
DSCR loans offer real estate investors a powerful tool to unlock the full potential of Long Beach's dynamic market. With a thriving coastal economy, strong rental demand, tailored financing solutions, and strategic advantages, Long Beach stands as a prime destination for investors seeking lucrative opportunities in the real estate sector. 

Don't miss out on the chance to elevate your investment portfolio—explore DSCR loans and invest wisely in Long Beach real estate today.

Long Beach California DSCR Loan frequently asked questions

How is DSCR Calculated in Long Beach California?

How is DSCR calculated in Long Beach California?

In Long Beach California, the Debt Service Coverage Ration (DSCR) is calculated by dividing a property's rental income by it's expenses. In some cases another method could be used which involves dividing Net Operating Income (NOI) by the Debt Service.

Income: For simplicty purposes, you can think about the top line as the annual rental income for your investment property. In some cases a 90% factor might be applied.

Expenses: There are four main components of the expenses.

  • Principal and Interest
  • Taxes
  • Insurance
  • HOA fees

Here's an example so you can see exactly how DSCR is calculated. To keep things easy, we are assuming there is no principal payment, which you might expect with an interest only period. To learn more about how DSCR loans work, check out our detailed article.

How is DSCR calculated in Long Beach California?

About the Longleaf Lending Team

Longleaf Lending is a veteran-owned, direct lending firm with a deep focus on the real estate market. Established in Texas, we bring over two decades of combined experience in real estate, hard money lending, and investment banking.

Funding Experience

Since 2018, we have funded over 600 hard money loans, totaling more than $125 million in loan value.

Expert Leadership

Our leadership includes co-founders Pete Underwood and Matt Weidert, who bring extensive experience from real estate investment, investment banking, and military service.

Commitment to Innovation

We are committed to providing innovative real estate solutions, with a strong focus on integrity and professionalism as a member of the American Association of Private Lenders.

For more about our journey and the dedicated team behind Longleaf Lending, visit our full About Us page.

Submit your Long Beach California loan request today

Start your DSCR Loan funding today

Ready to propel your Long Beach California rental project forward? Our simple loan request process is designed to get you the funding you need quickly and efficiently.

How the DSCR funding process works with Longleaf Lending

Submit our Online Form

Begin by filling out our short form. It's straightforward and only takes a minute. Provide us with some basic information about you and your project.

Get a Term Sheet in less than 24 Hours

After submitting your form, you'll receive a detailed term sheet from us within 24 hours. This term sheet will outline the terms of your loan and give you the confidence to proceed with your project.

Get Funded

Experience fast and straightforward funding. At Longleaf Lending, you'll work directly with our team throughout the entire process, from application to funding.

Applying does not affect your credit score

Apply for a Long Beach California DSCR Loan in 60 Seconds

Begin the funding process by completing our short online form.