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DSCR = Debt Service Coverage Ratio: This is the ratio of debt-to-income. It helps lenders evaluate if a borrower has the financial means to pay back their What Is The Right Way To Buy Rental Property?
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Net operating income = gross income - operating expenses. If income and expenses fluctuate throughout the year, try to come up with a reasonable HELOC combo loans are a great tool to solve multiple scenarios! HELOCs or Home Equity Lines of Credit are open-end loans
The standard DSCR calculation for 1-4 unit residential investment properties is Rent ÷ PITIA or Rent ÷ ITIA in the case of DSCR loans with an 📉 HELOC Combo Mortgage Loans Explained
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