Can You Refinance a DSCR Loan?
Yes. Lenders with published DSCR programs list rate-and-term and cash-out refinances alongside purchases, so you can refinance a rental into a DSCR loan, or refinance a DSCR loan you already have. One lender says its cash-out refinance goes up to 80% loan-to-value, with options that skip a waiting period.
Last updated October 21, 2026Rate-and-term or cash-out
A rate-and-term refinance replaces the loan to change its rate or term without taking money out. One lender describes using it to move off short-term hard money or bridge debt onto a 30-year or 40-year term, or to lower the rate on an existing loan. A cash-out refinance takes a larger loan and pays you the difference; one lender describes it as a way to fund the next purchase. One lender also lists delayed financing, a cash-out refinance soon after buying a property with cash.
How soon you can refinance
Ask about seasoning, the time a lender wants you to have owned the property before a cash-out refinance. One lender says its cash-out refinance is available after 90 days of ownership, or on a property you own free and clear. Another offers to skip a six-month seasoning period when you refinance a fix-and-flip loan into its rental loan, and a third says it has no-seasoning cash-out options. The fourth program we read doesn't publish a seasoning period on its page.
Check your prepayment penalty first
If you're refinancing a DSCR loan you already have, read its prepayment terms before you apply. A penalty can take a bite out of what the new loan saves. See prepayment penalties on a DSCR loan.
Qualifying again
A refinance is a new loan, so expect the property to qualify again on its current rent and value. If the rent has gone up since you bought, the ratio may look better than it did; if the value has gone up, there may be more equity to draw on.
What to ask a lender
- Do you offer rate-and-term and cash-out refinances on a DSCR loan?
- How long do I need to have owned the property before a cash-out refinance?
- What's your maximum loan-to-value on a cash-out refinance?
- Will you use my current lease or the appraiser's market rent?
| Refinance types | Rate-and-term and cash-out at three lenders we read; delayed financing at one |
|---|---|
| Cash-out limit | Up to 80% loan-to-value at one lender |
| Seasoning | After 90 days of ownership, or free and clear, at one lender; no-seasoning options at another; skip six months on a flip-to-rental refinance at a third |
| Before you start | Check the current loan's prepayment penalty |
Related questions
Sources
- https://www.kiavi.com/loans/dscr
- https://angeloakms.com/programs/investor-cash-flow-mortgage-program/
- https://www.griffinfunding.com/non-qm-mortgages/dscr-loans/
- https://limaone.com/rental/detail/
Sourced from licensed loan officers and brokers in the FreeRateUpdate network.
Educational information only, not individualized financial or legal advice. Program details and rates change; verify current terms with a licensed loan officer before making a decision.