The DSCR loan myth I keep seeing on here

I keep reading posts where people think DSCR loans don't factor in your personal credit at all. That's wrong. I applied for one last month on a duplex in Tampa with a 680 score and the lender told me they absolutely look at your credit history, just not your W2 income. Why do so many people spread this idea that it's a free pass? Has anyone else run into this and gotten turned down?

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sageellis4mo ago

And this is the same thing that happens with people and credit cards or car loans too honestly. Everyone wants to believe there's a secret hack where the rules don't apply to them, but lenders always find a way to look at your whole picture. Like if you have a bankruptcy last year, they're going to notice even if the loan is based on the property's income.

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mia5924mo ago

Haha seriously! It's wild how people think DSCR loans are some kind of cheat code. You still need a decent credit score and no major red flags. I've seen folks with recent charge-offs get denied flat out. The lender is still taking a risk on you, just in a different way. It's not a free pass for bad financial habits.

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