Both paths may refinance an investment property, but they can evaluate income, documentation, property cash flow, ownership, and borrower qualifications differently.
How income is reviewed
DSCR programs generally focus on a relationship between qualifying property income and debt service. Conventional analysis may incorporate personal income and rental income differently.
Documentation and ownership
Tax returns, leases, appraisals, reserves, entity documents, and title requirements vary. LLC ownership may be treated differently across paths.
Terms and restrictions
Pricing, costs, prepayment provisions, property eligibility, and cash-out treatment should be compared using current program information.
Choose around the scenario
The useful comparison starts with the property, rent, current payoff, documentation profile, and objective rather than the product label.