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Longleaf Lending Miami Florida DSCR Loans

DSCR Loans in Miami Florida:
Modern Financing for Investors

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

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Modern, long-term financing solutions

Why Choose Longleaf Lending for Your Miami Florida DSCR Loan Needs

Crafted with savvy Miami Florida 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 6.6%.

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 Miami Florida 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 Miami Florida, 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.

DSCR Loan Terms

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

Terms current as of December 30, 2024

Loan Value:: $75,000-$2,000,000
LTV:: Up to 80% (as is)
Interest Rate:: Starting at 6.6%
Points:: 1-3
Term:: 30 years
Closing Time:: As fast as 2 weeks
FICO:: 660 minimum

Hundreds of investors trust our Rental Loan Calculator to assess their investments

Use our DSCR Loan Calculator to accurately evaluate the financial health of your rental property. Get a personalized term sheet instantly, and join the ranks of savvy investors making smarter financial decisions.

Loan calculator submissions: 634

Calculate your loan terms, below, instantly!

Step 1: What type of loan are you looking for?

Fix & Flip (short term bridge loan)

Rental Loan (long term financing for rental properties)

Step 2: Target Property

Address City State ZIP Code

Step 2: Property Details

Address City State ZIP Code

DSCR Loan Requirements Simplified

Understand DSCR Loan Miami Florida Requirements

Securing a DSCR Loan in Miami Florida 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 Miami Florida:

DSCR Calculation:: Minimum of 0.65x
Credit Score:: 660 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

Designed for Miami Florida investors

Build wealth through real estate with our DSCR Loans in Miami Florida

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

Miami Florida long term rental property loans

Unleash Your Investment Potential: DSCR Loans in Miami, Florida

Are you eyeing the vibrant real estate market of Miami, Florida for your next investment opportunity? Look no further! DSCR loans offer the perfect financial solution to tap into the bustling Miami real estate scene and unlock lucrative returns.

Why DSCR Loans in Miami, Florida?

Miami's real estate market is renowned for its diversity, ranging from luxurious waterfront properties to bustling urban condominiums and thriving commercial spaces. In such a dynamic environment, traditional lending options may not always cater to the unique needs of investors. This is where DSCR (Debt Service Coverage Ratio) loans shine.

DSCR loans are tailor-made for the Miami real estate market, offering financing solutions based on the income potential of the property itself. With Miami's reputation as a global hub for tourism, business, and luxury living, DSCR loans empower investors to leverage the income-generating capabilities of their properties to secure financing.

Benefits for Real Estate Investors

Income-Centric Financing: DSCR loans evaluate the property's ability to generate income to cover debt obligations, rather than solely relying on the investor's creditworthiness. This opens doors for investors with solid investment opportunities but may not meet traditional lending criteria.
Enhanced Flexibility: With DSCR loans, investors can enjoy greater flexibility in financing terms, potentially leading to more favorable rates and terms. This flexibility allows investors to structure deals that align with their investment goals and maximize returns.
Risk Mitigation: By assessing the property's income potential, DSCR loans help mitigate risk for lenders, resulting in potentially lower down payments and reduced interest rates for investors.

Strategic Advantages of Investing in Miami, Florida Real Estate

International Appeal: Miami's allure extends far beyond the United States, attracting investors and homebuyers from around the globe. Investing in Miami real estate opens doors to a diverse pool of potential tenants and buyers, enhancing property value and rental demand.
Thriving Tourism: Miami is a premier tourist destination, drawing millions of visitors each year to its pristine beaches, vibrant nightlife, and cultural attractions. Investing in vacation rentals or short-term accommodations can yield significant returns, especially during peak tourist seasons.
Booming Economy: Miami boasts a robust and diverse economy, with strong sectors including finance, technology, healthcare, and trade. As the city continues to attract businesses and talent, the demand for residential and commercial real estate remains high, presenting ample investment opportunities.

DSCR loans offer a strategic advantage for real estate investors looking to capitalize on the dynamic Miami real estate market. By leveraging the city's international appeal, thriving tourism, and booming economy, investors can unlock the full potential of their investments and achieve long-term success in the vibrant city of Miami, Florida. Partner with us to explore your financing options and embark on a rewarding journey in Miami real estate today!

Miami Florida DSCR Loan frequently asked questions

: DSCR stands for Debt Service Coverage Ratio. A Debt Service Coverage Ratio loan is a type of asset based loan used by real estate investors that focuses on the cash flow generated by the property rather than the personal income of the borrower. It's designed to provide investors with leverage for acquiring or refinancing rental properties based on the property's ability to generate income.
: Debt Service Coverage Ratio is calculated by dividing the property's Net Operating Income (NOI) by its total annual debt payments, taxes, and insurance. It's a measure of the cash flow potential of the investment property. The formula is: DSCR = NOI / Annual Debt Service, Taxes, and Insurance. A DSCR greater than 1 indicates that the property generates enough income to cover its debt obligations.
: DSCR Lenders typically require a DSCR greater than 1.0, indicating the property has rental income and cash flow sufficient to cover its debt obligations. Common thresholds are a DSCR of 1.0 to 1.2 or higher, although this can vary depending the specifics of the investment property. You will also need to qualify for a minimum credit score - typically a 660 minimum.
: Yes, we require a 660 minimum for the FICO score.
: Yes, one of the main advantages of Debt Service Coverage Ratio loans is that we do not require traditional income verification. Instead, the approval process focuses on the rental income potential of the property, making it an attractive option for investors who may not qualify for traditional loans.
: DSCR loans are available for a wide range of investment properties, including single-family homes, multi-family units, condos, and commercial properties. The key requirement is that the property generates rental income.
: The timeline can vary, but we offer expedited processes allowing borrowers to receive a term sheet within 24 hours after application submission for their investment property. The entire process from application to funding can often be completed in a few weeks, often times much faster than traditional banks and mortgage processes.
: DSCR loans are typically used for acquiring new investment properties or refinancing existing ones. The primary restriction is that the property must be intended for rental and generate income.
: Interest rates for DSCR loans are generally competitive with traditional mortgage rates but can be higher due to the perceived higher risk associated with non-traditional income verification. Rates can vary based on your credit score, the DSCR ratio, and the loan-to-value (Total Debt / Property’s Valuation).

Starting at 6.6%, we offer the most competitive rates in the industry.
: We offer DSCR loans in most states.
: To begin the application process for a DSCR loan for your investment property, simply fill out our short application form at the bottom of this page. We will get you a termsheet within 24 hours.
: We will get a termsheet to you within 24 hours, and our streamlined process ensures you can get your loan funded faster than other lenders. Furthermore, we will search for the best rate and provide several options for you to consider. We’ll work with your exit strategy to make a recommendation on the best DSCR loan for you.

How is DSCR Calculated in Miami Florida?

In Miami Florida, 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.

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.

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Submit your Miami Florida loan request today

Start your DSCR Loan funding today

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

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 Miami Florida DSCR Loan in 60 Seconds

Begin the funding process by completing our short online form.