DPDominick Prevete
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Actual Income or Projection · No Operating History Required · All 50 States

DSCR Loans for Airbnb & Short-Term Rental Investors

Reviewed by Dominick Prevete, Founder & CEO, National Loan Provider31+ years in real estate finance

LinkedIn35 closed transactionsNLPI LLC, NJ entity ID 0451062247 (verify on the NJ business search)

Short-term rentals earn 2–3x conventional rent, and the income method decides how much of that a lender counts. With booking history, the lender uses the actual history. With none, it uses the appraiser's long-term market rent or an AirDNA-style projection, depending on the lender. No tax returns, no W2s, no operating history required. Pre-approval in minutes. DSCR rates Dominick Prevete arranges start at 7.25%, with short-term rental pricing from 7.5% (rates as of November 2026).

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2–3x
STR vs LTR income
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No history
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How Lenders Count STR Income

Why is it hard to get a mortgage on an Airbnb?

Your Airbnb earns $4,800/month. A lender that starts from long-term rent counts $1,600.

This is the core problem with getting a mortgage on a short-term rental: which income figure the lender starts from. With booking history, the lender uses the actual history. With no booking history, the lender uses the appraiser's long-term market rent or an AirDNA-style projection, and which one is lender-dependent. For a beach house or mountain cabin that earns $4,800/month on Airbnb, the long-term market rent might be $1,600, and a file qualified on that number comes back with a much lower loan amount than the property's short-term income would support.

Which number a lender uses is the whole deal, and the two situations below work through how a program turns short-term rental revenue into a qualifying figure. Programs also differ on how they treat a projection: some apply an income factor to it, and some require the long-term market rent instead.

Matching the file to a program that counts STR income

An AirDNA-style projection aggregates real Airbnb and VRBO booking data — nightly rates, occupancy rates, and seasonal patterns — for comparable properties in your specific market. That figure reflects what comparable listings earn as an Airbnb, not what a long-term tenant would pay. On a program that uses it, the DSCR can come out substantially stronger than on long-term market rent in a vacation market, which can change the loan amount. On a program that requires the long-term market rent, that is the number the file runs on. Which program a file goes to is part of structuring the deal.

How STR Income Is Calculated

Can a DSCR loan qualify on Airbnb income instead of long-term rent?

Two situations, depending on whether the property has booking history.

WITH BOOKING HISTORY
01

Actual booking history

If your property has been operating as an Airbnb for 12+ months, the file qualifies on your actual gross rental receipts from your Airbnb/VRBO host dashboard or bank statements. Those receipts are taken as earned — they already reflect the empty nights, so no vacancy factor is applied. Available on a refinance or an existing STR property.

WITHOUT BOOKING HISTORY
02

Long-term market rent or an AirDNA-style projection

For purchases or properties without booking history, the lender uses the appraiser's Form 1007 long-term market rent or an AirDNA-style projection, depending on the lender. A projection such as AirDNA's Rentalizer report pulls booking data from comparable listings in your market, filtered by unit type, bedroom count, and property tier. How a projection is treated is lender-dependent: some programs apply an income factor to it, and some require the long-term market rent instead. Either way, no operating history is required to buy.

How do lenders calculate short-term rental income for a DSCR loan?

How lenders qualify short-term rental income
With booking historyWithout booking history
Used whenRefinance, or an STR with booking historyPurchase, or no booking history
SourceThe actual history: Airbnb / VRBO host dashboard or bank statementsThe appraiser's Form 1007 long-term market rent, or an AirDNA-style projection from comparable listings, depending on the lender
TreatmentTaken as earned — actual receipts already reflect vacancyLender-dependent: some programs apply an income factor to a projection, and some require the long-term market rent instead

Which figure a file runs on is set by the lender's program, which is why program selection can change the loan amount on a vacation-market property.

Methods are typical of the short-term rental programs National Loan Provider arranges and places across its lender relationships, not a commitment or an offer.

A closed example with no short-term rental history yet, written up from the files: From fix-and-flip bridge loans to permanent DSCR debt — West Palm Beach, FL and Sussex, NJ.

Real Numbers

How much does the income method change an Airbnb's DSCR?

What the difference looks like on a real STR deal.

Which income figure a program uses moves your DSCR directly, and with it your loan amount and pricing.

Same Poconos cabin, two income figures
Long-term market rentAirDNA-style projection
Purchase price$420,000$420,000
Loan (75% LTV)$315,000$315,000
Monthly PITIA$2,560$2,560
Qualifying income$1,800/mo (appraiser long-term rent)$3,200/mo (AirDNA-style projection)
DSCR0.701.25
What it meansUnder 1.0 — available at a cost in leverage and/or pricingClears 1.0 coverage

On the long-term market rent figure this deal comes in under 1.0 coverage, where the lower coverage costs leverage and/or pricing.

Same property, same loan, same lender terms. The payment is identical on both sides — the only variable is which income figure the lender qualifies on, and it moves the ratio from under 1.0 to 1.25. Programs differ on which figure they use, which is why short-term rental program selection matters.

Illustrative figures on one deal, carried over from this page's worked example. Not a commitment or an offer; actual terms depend on deal specifics and the lender selected.

Top STR Markets We Arrange Financing In

Where are short-term rental DSCR loans available?

Every major vacation rental market in the country.

We arrange financing on short-term rental properties in every active vacation market nationwide. Here are the markets with the strongest AirDNA data and STR income potential.

NORTHEAST

Poconos, PA

60–90 min from NJ/NYC. Year-round ski + lake demand.

NORTHEAST

Catskills / Hudson Valley, NY

NYC weekend escape. $50K–$100K+ annual STR income.

NORTHEAST

Finger Lakes, NY

Wine country STR. Waterfront premium properties.

SOUTHEAST

Orlando / Disney Corridor, FL

Tourism-driven STR. AirDNA income far exceeds LTR.

SOUTHEAST

Miami Beach, FL

International luxury STR. High nightly rates year-round.

SOUTHEAST

Florida Keys

Island vacation rentals. Premium occupancy and rates.

SOUTHEAST

Smoky Mountains, TN

One of the top STR markets in the US. Gatlinburg/Pigeon Forge.

SOUTH/CENTRAL

Texas Hill Country

Fredericksburg, Wimberley. Texas wine country weekend demand.

SOUTH/CENTRAL

Austin, TX

SXSW, F1, live music. Strong year-round urban STR market.

SOUTH/CENTRAL

Gulf Coast (Destin, PCB)

Emerald Coast vacation rentals. Peak summer + shoulder seasons.

WEST

Colorado Mountain Towns

Breckenridge, Steamboat, Telluride. Ski season + summer hiking.

WEST

Arizona / Scottsdale

Desert resort market. Strong winter occupancy from northern states.

STR DSCR Loan Requirements

What does it take to qualify for a short-term rental DSCR loan?

What you need to qualify.

  • ✓20–25% down payment on purchases
  • ✓DSCR of 1.0 or above prices best, on the income figure the program uses (below 1.0 costs leverage and/or pricing)
  • ✓3 months of PITIA in liquid reserves post-closing
  • ✓Investment property only — no primary residences
  • ✓No tax returns or W2s required
  • ✓No personal debt-to-income calculation
  • ✓No operating history required for purchases
  • ✓Close in your LLC — the entity holds title and signs as borrower
  • ✓No limit on number of STR properties financed
  • ✓Loan amounts from $75,000 to $25M
  • ✓All 50 states

STR permit verification is required

Most DSCR programs require the property to be legally permitted for short-term rental operation in its jurisdiction. Verify your property's STR permit status with the local municipality before applying. NYC Local Law 18, Austin STR permitting restrictions, and various HOA rules can affect eligibility. We check this early in the process so there are no surprises at closing.

Don't overstate AirDNA projections

One of the most common reasons STR DSCR loans get denied is using raw AirDNA market averages without property-specific adjustments. AirDNA doesn't account for condition, finishes, or guest appeal of the specific property. If your deal requires a perfect AirDNA number to barely qualify, it's fragile. Build in a conservative buffer — we structure deals to close, not to barely squeak through underwriting.

Advanced STR Strategy

How does the BRRRR strategy work with an Airbnb?

The AirBnBRRRR: combining BRRRR with short-term rental.

The BRRRR strategy — Buy, Rehab, Rent, Refinance, Repeat — has been one of the most powerful portfolio-building methods in real estate for years. A newer iteration combines it specifically with short-term rentals, producing what investors call the “AirBnBRRRR.”

Here's how it works: acquire a property that needs renovation using a fix-and-flip loan or bridge loan (fast, asset-based, no income docs). Rehab it to vacation rental quality — better finishes, better photography, better guest experience. List it on Airbnb. Once it's generating income, refinance into a long-term DSCR loan on the actual booking history once there is 12 months of it, or, with less history, on market rent or an AirDNA-style projection depending on the lender.

The key advantage over standard BRRRR is that STR income is substantially higher than long-term rental income for vacation-oriented properties. That higher income produces a stronger DSCR ratio on the refinance, which often supports a higher loan amount — allowing you to pull out more equity to fund the next acquisition. The cycle compounds faster because the income base is larger.

We offer both the fix-and-flip acquisition loan and the DSCR refinance — handling the full AirBnBRRRR cycle from purchase through stabilization and refinance. Many STR investors prefer working with a single lender who understands both phases.

DSCR Cash-Out Refinance for Existing STRs

If you already own a short-term rental that's generating strong Airbnb income, a DSCR cash-out refinance allows you to access the equity you've built — using your STR income to qualify rather than personal tax returns. Up to 75% LTV on cash-out refinances. Use the proceeds to fund your next STR acquisition, cover renovations on an existing property, or consolidate other debt. No tax returns required, no W2s, no personal DTI calculation.

STR Portfolio Loans

If you own multiple short-term rental properties, a portfolio blanket loan consolidates them under one note with one monthly payment. Each property still qualifies on its own STR DSCR, but the portfolio structure reduces closing events and simplifies debt management as you scale. We offer STR portfolio loans for investors with 5 or more properties, with loan amounts from $500,000 to $25 million.

The Process

How fast can a short-term rental DSCR loan close?

From application to closed in 14 days.

01

Apply — 60 seconds

Submit your property address, purchase price, and basic deal info. No hard credit pull, no commitment.

02

Written term sheet within 24 hours

We run the DSCR on the income figure that fits your file — actual history, or market rent or an AirDNA-style projection — and send you a written term sheet with rate, leverage, and structure.

03

Appraisal — day 7–14

Full appraisal ordered. For STR loans, some programs also order a separate rental market analysis confirming AirDNA comp set.

04

Underwriting

DSCR verified, entity docs reviewed if buying in LLC, title and insurance confirmed.

05

Close and fund

Title, closing docs, funding. Most STR DSCR loans close in 14 days. Bridge and fix-and-flip loans can close in 7 days.

You can start a short-term rental loan application online in a few minutes.

STR Investor FAQ

Common questions from short-term rental investors.

Do I need existing Airbnb income history to qualify?
No. With booking history, the lender uses the actual history. With no booking history, such as a new acquisition, the lender uses the appraiser's long-term market rent or an AirDNA-style projection, depending on the program. A projection analyzes comparable STR listings in your specific market, so first-time STR investors and investors buying new properties can qualify without any rental history. How a projection is treated is lender-dependent: some programs apply an income factor to it, and some require the long-term market rent instead.
How does AirDNA income qualification work?
AirDNA is a third-party data platform that aggregates real booking data from Airbnb and VRBO — actual nightly rates, occupancy percentages, and seasonal patterns — for comparable properties in your market. Its Rentalizer report projects a property's annual gross STR income, and a program that uses it divides that by 12 to get a monthly qualifying income figure, which is then divided by your monthly PITIA to calculate the DSCR. Treatment of a projection is lender-dependent: some programs apply an income factor to it, and some require the long-term market rent instead. With actual booking history, the lender uses that history and no projection is needed.
Can I close in my LLC?
Yes, we close in the LLC's name: the LLC holds title and signs as the borrower. A personal guarantee from the members is still required, which is standard on DSCR loans. The entity gives you title, liability separation, and room to scale; it does not remove the guarantee.
What if my city restricts STRs to a limited number of nights per year?
We underwrite to the legal cap. If the jurisdiction limits STR operation to 120 nights annually at an average nightly rate, we qualify on that capped annual income figure — not an uncapped 365-night projection. Verify your property's STR permit status and any night restrictions before applying so we can structure the deal correctly upfront.
Do you arrange loans on seasonal vacation markets?
Yes — ski towns, beach towns, and seasonal vacation markets are all eligible. AirDNA accounts for seasonality in its projections by using annual averages rather than peak-season rates. Some seasonal markets may require slightly more conservative LTV or higher reserves, but there are no blanket restrictions on rural, seasonal, or vacation-only markets.
Can I do a cash-out refinance on an existing Airbnb property?
Yes — DSCR cash-out refinances are available up to 75% LTV. If you have at least 12 months of STR income history, we qualify on actual rental receipts. If under 12 months, we use a combination of partial actual income and AirDNA projections. Cash-out proceeds can be used for any purpose including funding your next STR acquisition.
What DSCR rates does Dominick Prevete arrange?
DSCR rates Dominick Prevete arranges currently start at 7.25% (rates as of November 2026), with pricing tiers that vary by leverage, credit score, and property type. Actual pricing depends on the specifics of your deal — the rate stamp on this page reflects the current starting tiers.
What credit score does Dominick Prevete require?
Credit score is one input among several — it interacts with leverage, property type, and the program. We do not arrange financing on owner-occupied residential properties; every loan we arrange is business-purpose investor financing. Send the scenario and we will tell you what it supports.
Does Dominick Prevete arrange loans in my state?
Dominick Prevete arranges business-purpose investor financing in all 50 states from his office in Sparta, New Jersey. DSCR, fix-and-flip, bridge, and ground-up construction programs are available nationwide; specific program availability can vary by state and property type.
Who you're working with

Every deal here is structured personally by Dominick Prevete — 31+ years in real estate finance, including regional leadership of a business generating over $2 billion in annual sales volume, and 100+ bank and institutional lender relationships.

Dominick Prevete arranges business-purpose investor financing in all 50 states.

About Dominick →
Ready to finance your STR?

Pre-approved in minutes. Income method matched to your file. No tax returns.

Tell us about your Airbnb or vacation rental property. We'll run the numbers on the income figure that fits your file. Written term sheet within 24 hours — rate, leverage, and structure. No hard credit pull, no commitment, no fee.

Get my rate in 60 seconds →Call (908) 220-6404
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