Single-family rentals (SFRs) are the most common DSCR loan product. Detached single-family homes offer stable tenant demand, straightforward valuation via traditional comparable sales, and the lowest overlays across every DSCR lender.
Standard SFR DSCR terms: up to 80% LTV on purchase and rate/term refi, 75% cash-out, $100k-$3M loan amounts (higher on strong scenarios), 660+ FICO, 30-year fixed or ARM, and LLC vesting. Reserves are typically 6 months of PITIA post-close, dropping to 3 months on some programs with 700+ FICO.
SFRs are ideal for scaling investors because financing terms are the most competitive, resale liquidity is high (you can sell to a homeowner or another investor), and management is straightforward compared to multifamily. Downside: yield-per-dollar is usually lower than 2-4 unit or STR alternatives, and each unit needs its own tenant sourcing and maintenance visit.
Get an SFR rate quote or explore our multifamily properties page for higher-yield alternatives.