Colorado DSCR Loan Lenders for Long-Term and Short-Term Rentals
Are you seeking long-term private financing for a residential rental property in Colorado? On this page you'll find a list of lenders that offer these “DSCR” loans for single family homes, condos, and 2-4 unit rental properties in Colorado’s urban areas. Some lenders consider vacation rentals (aka short-term rental or STR). The maximum loan-to-value is 80%. For a purchase, investors need a minimum down payment of 20%, and it could be higher depending on the debt service coverage ratio (DSCR), borrower’s credit score and location. The minimum credit score is 680 for most lenders. The loans terms range from 5 to 30 years.Searching...
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Diya Finance
Bridge and Rental Loans Made Easy
RCN Capital
Direct Lender for Residential Fix & Flip, Long-Term Rental, Bridge Loans
HouseMax Funding
Hard Money Loans to Fund Your Next Big Project
Rain City Capital
Quick, Simple, Reliable Direct Lender for Real Estate Investors
LendingOne
Rental, Fix & Flip, Construction & Multifamily Bridge Loans Nationwide
American Heritage Lending
Direct Lender for Residential Real Estate Investors Nationwide
Conventus
We Fund Fast While Providing Excellent Service and Competitive Pricing
Kiavi
Servicing 12,000+ Real Estate Investors Across the Country
Lima One Capital
The Nation's Premier Lender for Real Estate Investors
Griffin Funding
DSCR Long-Term Rental Loans for Residential Investment Properties
Nationwide Mortgage
Outstanding Service for Investment Property Bridge, Rehab, Rental, and Construction Loans
Easy Street Capital
Direct Lender for Residential Flips and Rentals
Colorado DSCR Loan Interest Rates
According to the loan documents software company, Lightning Docs, the average interest rate for Colorado DSCR long-term rental loans in the 1st quarter of 2024 was 7.97%. The average loan amount was $432,380. These stats are the average of 15 loans funded for residential rental properties in Colorado between January 1, 2024 and March 31, 2024 by multiple lenders that use Lightning Docs as their preferred software provider to prepare loan documents.
Funded DSCR Rental Loans in Colorado
RCN Capital, a national direct private lender, funded a $412,500 DSCR long-term rental loan in 1st lien position secured by a duplex in Fruita, CO. The property value was estimated to be $550,000 so our loan-to-value was 75%. The subject property was being leased for $4,000 per month which was above the market rates per the appraiser’s estimate ($3,600/month). The Sponsor on the loan had excellent credit with a mid-score of 771; Bank statements reflected solid liquidity which was sufficient to meet the reserve requirement. The total loan amount was 75% loan-to-value with a 1.21 debt service coverage ratio. The Borrower purchased the property for $180,000 in June 2017, via foreclosure auction and had no debt. The interest rate was 6.99% with amortized payment. We charged 2% origination points. The subject property was in good condition. The loan term was set at 360 months. The Borrower plans to continue leasing the property long-term. This DSCR equity cash-out loan was funded in November 2022.