Longleaf Lending Phoenix Arizona DSCR Loans

DSCR Loans in Phoenix Arizona:
Modern Financing for Investors

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

Modern, long-term financing solutions

Why Choose Longleaf Lending for Your Phoenix Arizona DSCR Loan Needs

Crafted with savvy Phoenix Arizona 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 Phoenix Arizona 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 Phoenix Arizona, 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 Phoenix Arizona 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 Phoenix Arizona Requirements

Securing a DSCR Loan in Phoenix Arizona 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 Phoenix Arizona:

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 Phoenix Arizona requirements

Designed for Phoenix Arizona investors

Build wealth through real estate with our DSCR Loans in Phoenix Arizona

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

Phoenix Arizona long term rental property loans

Phoenix is known for its year-round sunshine, breathtaking desert landscapes, and rapid growth. As the fifth-largest city in the United States, Phoenix is a hub of economic activity, with a strong foundation in industries such as technology, healthcare, and manufacturing. Its affordable cost of living, compared to other major metropolitan areas, and significant population growth make it an attractive market for real estate investors.

The city's expansion into surrounding areas has led to a boom in both residential and commercial real estate developments. Phoenix's commitment to innovation and sustainability, along with its welcoming business environment, positions it as a key player in the Southwest's economic landscape.

Why DSCR Loans Are Ideally Suited for Phoenix's Real Estate Market

  • Rapid Population Growth: Phoenix's fast-growing population fuels demand for housing, making it a prime location for rental property investments.
  • Economic Diversification: With its evolving economy, Phoenix supports a healthy demand for a variety of real estate investments, from single-family homes to commercial spaces.
  • Streamlined Financing with DSCR Loans: The efficiency and flexibility of DSCR loans align perfectly with Phoenix's dynamic real estate market, offering investors a quick path to financing without traditional income verification.

Strategic Advantages of Investing in Phoenix

  • Strong Rental Market: The continuous influx of new residents and businesses creates a vibrant rental market, ideal for investors looking to generate steady income.
  • Economic Resilience: Phoenix has demonstrated a strong capacity for economic recovery and growth, making it a stable environment for long-term investments.
  • Affordable Entry Points: Compared to other major cities, Phoenix offers more affordable investment opportunities, allowing for greater portfolio diversification.

Maximizing Investment Potential with Phoenix DSCR Loans


DSCR loans in Phoenix empower investors to fully exploit the city’s burgeoning market by:
  • Diverse Investment Opportunities: The wide-ranging Phoenix metropolitan area offers diverse investment options, from urban condos to suburban single-family homes.
  • Efficient Market Entry and Expansion: DSCR loans facilitate rapid entry and expansion within the Phoenix market, critical for capitalizing on growth opportunities.
Phoenix's real estate market, characterized by its robust growth, economic resilience, and diverse opportunities, presents a fertile ground for investors. DSCR loans in Phoenix provide the financial agility needed to navigate this promising market effectively, offering a streamlined approach that resonates with the investment strategies of today's real estate investors.

Whether targeting emerging neighborhoods or established communities, DSCR loans in Phoenix lay the groundwork for successful real estate investment in Arizona's thriving capital.

Phoenix Arizona DSCR Loan frequently asked questions

How is DSCR Calculated in Phoenix Arizona?

How is DSCR calculated in Phoenix Arizona?

In Phoenix Arizona, 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 Phoenix Arizona?

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.

Explore other Arizona DSCR markets

Submit your Phoenix Arizona loan request today

Start your DSCR Loan funding today

Ready to propel your Phoenix Arizona 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 Phoenix Arizona DSCR Loan in 60 Seconds

Begin the funding process by completing our short online form.