DSCR | DSCR Checklist - Common Docs Needed

Updated February 2026

DSCR Document Checklist                

Quick Reference Guide | Common Docs Needed  

ALWAYS check with your investor as investor needs may vary; this is a list of common docs needed for a DSCR loan.

BORROWER & CREDIT

• Signed 1003 (URLA) must state 'Investment' purpose
• Tri-merge credit report — min FICO typically 620–660+
• Government-issued ID (color copy) for all borrowers
• Background Check / OFAC on all key principals

PROPERTY

• Purchase Agreement — fully executed with all addenda (purchases only)
• Appraisal Report — Form 1004 (SFR) or Form 1025 (2–4 units)
• Form 1007 (Comparable Rent Schedule) determines gross income for DSCR calc
• Existing Lease Agreement — required if property is currently occupied
• Hazard/HOI Insurance — 12-month paid receipt OR new policy quote
• Preliminary Title Report — review for liens or judgments

ASSETS & RESERVES

• 2 months bank statements — must cover down payment, closing costs, and reserves
• Large deposits (above program threshold) must be sourced
• Reserves: typically, 3–12 months PITIA required; retirement accounts often acceptable at discounted value
• Gift Letter + sourcing (if applicable) check program; some DSCR products prohibit gifts
• Business account funds — requires CPA or bank letter confirming withdrawal won't harm the business

COMPLIANCE & DISCLOSURES

• DSCR Calculation Worksheet
• Non-Owner Occupancy Certification — borrower affidavit stating they will NOT occupy
• Business Purpose Affidavit — confirms loan is for investment/business, not consumer use
• Prepayment Penalty Disclosure — signed by borrower (most DSCR loans have 1–5 year prepay)
• Experience Letter / REO Schedule — required if borrower is seeking 'Experienced Investor' pricing (properties owned or flipped in last 36 months)
• 4506-C (Tax Transcript Authorization) required for fraud prevention even if income is not being verified

CLOSING DOCUMENTS

• Closing Disclosure (CD) or Settlement Statement
• ACH Authorization Form — many Non-QM lenders require auto-pay setup