Best DSCR Lenders in Colorado (Rental Property Loans) [2025]

Colorado is more than just a playground for skiers and hikers; it’s a rapidly growing real estate market. Denver, Aurora and Colorado Springs have seen population and job growth that outpace national averages, while mountain towns like Breckenridge and Telluride are grappling with housing shortages and short‑term rental (STR) caps. For investors, debt service coverage ratio (DSCR) loans offer a way to build or scale a portfolio without personal income documentation. These loans focus on the property’s cash flow rather than the borrower’s tax returns. This 2025 guide ranks the best DSCR lenders serving Colorado, explains how DSCR works and highlights local considerations like STR regulations and varying rents. Select Home Loans again earns the #1 spot because of its flexible underwriting and investor‑friendly programs.

How we ranked lenders

Our evaluation criteria mirror those used in our other state guides, with special attention to Colorado dynamics:

1. Guideline transparency – clear explanation of DSCR calculation, minimum ratios, LTV limits, credit score requirements and fees.
   
2. DSCR and LTV thresholds – lower minimum DSCRs and higher LTV allowances enable investors to leverage more capital.
   
3. Credit score requirements – programs that consider scores in the low‑ to mid‑600s score higher; those demanding high scores rank lower.
   
4. Closing speed and service – quick and responsive underwriting is essential in competitive markets like Denver.
   
5. Property type flexibility – ability to finance single‑family homes, duplexes, triplexes, four‑plexes, condos, townhomes and small multifamily.
   
6. Short‑term rental support – since mountain towns impose stringent STR regulations, lenders that underwrite AirDNA projections and accept STR income are prioritized.
   
7. State availability – only lenders active in Colorado; those restricted elsewhere were omitted.
   
8. Support for first‑time investors – lenders that welcome new investors with guidance and LLC eligibility were favored.

Top DSCR lenders in Colorado

1. Select Home Loans – Best overall for Colorado investors

Website: SelectHomeLoans.com

Phone: 888-550-3296

Select Home Loans leads our list due to flexible underwriting, high LTV allowances and strong support for first‑time investors. The lender finances properties throughout Colorado—from major metros like Denver, Aurora and Colorado Springs to college towns like Boulder and Fort Collins and mountain communities like Aspen and Steamboat Springs. Minimum DSCR requirements vary by scenario; deals often qualify with ratios as low as 1.0. Typical LTVs reach 80 % on purchases and rate‑term refinances, while cash‑out refinances cap around 75 %. Borrowers with credit scores in the mid‑600s or higher are considered. Loan amounts generally range from $100 k to $3 million, with potential exceptions for larger portfolios. Eligible properties include 1–4 unit rentals, condos, townhomes and small multifamily buildings. Prepayment penalties last three to five years and may be declining or flat with buydown options. Select Home Loans does not require personal income documentation; underwriting focuses on property cash flow. Average closing time is two to three weeks from a complete application. Additional benefits include allowing title in an LLC, accepting AirDNA projections for STRs, and working with first‑time investors. As always, programs and pricing are subject to change.

2. Easy Street Capital – Best for no DSCR minimum and STR flexibility

Easy Street Capital’s EasyRent program is well suited to Colorado investors seeking flexibility. The program has no minimum DSCR requirement, enabling investors to qualify even when rents barely cover debt service. Down payments start at 20 %, meaning up to 80 % LTV on purchases. Credit scores below 640 aren’t accepted, but borrowers with 640 or higher qualify. The program offers 30‑year fixed or interest‑only terms, and there is no title seasoning requirement when transferring properties to an LLC. Easy Street finances STRs using AirDNA projections, which is advantageous in mountain towns where nightly rates vary by season. BRRR loans allow up to 75 % LTV on cash‑out refinances. Multifamily loans for up to ten units may also be available.

3. Ridge Street Capital – Best for experienced borrowers needing high leverage

Ridge Street Capital provides DSCR loans nationwide, including Colorado. The program sets a minimum DSCR of 1.0, offers up to 80 % LTV on purchases and rate‑term refinances and 75 % on cash‑out refinances, and typically requires a 660+ credit score. Ridge Street accepts STRs and will underwrite projected income from vacation rentals, making it a good fit for properties near ski resorts or vacation destinations. Loan amounts generally range from $75 k to $2 million. The lender is best for experienced investors looking for high leverage and straightforward underwriting.

4. Visio Lending – Best for new investors and Airbnb hosts

Visio Lending is highly regarded for DSCR loans in Colorado. Their program offers minimum DSCR of 1.0, maximum LTV of 80 % on purchases and 75 % on cash‑out refinances, and loan amounts up to $2 million. Visio accepts AirDNA projections, making it ideal for short‑term rentals in places like Breckenridge, Steamboat Springs and Durango. The lender welcomes first‑time investors and provides 30‑year fixed or interest‑only options. Because Visio is comfortable underwriting Airbnb income, it’s particularly valuable in Colorado mountain towns where rents can spike during ski season but drop off in spring.

5. Kiavi – Best for tech‑driven underwriting and fast closings

Kiavi focuses on a digital application and underwriting process. Investors can upload documents online and track their loans through a portal. The program requires a minimum DSCR around 1.1, with a maximum LTV of 75 % and loan amounts up to $1.5 million. Kiavi offers fixed‑rate and interest‑only terms. Borrowers with credit scores in the mid‑600s or higher have the best chance of approval. Kiavi is an excellent choice for investors who value speed and technology in markets like Denver, where median rent across all apartment sizes was around $1,688 in August 2025.

6. CoreVest – Best for portfolios and small multifamily

CoreVest provides DSCR financing for single‑property and portfolio loans. Minimum DSCR is 1.0, with maximum LTV of 75 % and loan amounts between $150 k and $2 million. Investors can bundle multiple properties under one loan, which is attractive for those holding rentals in different Colorado cities. CoreVest also offers non‑recourse loans and allows title in an LLC. The lender is suitable for investors expanding their portfolio beyond one or two properties.

7. Angel Oak Mortgage Solutions – Best for high loan amounts and no‑ratio options

Angel Oak’s DSCR program features minimum DSCR of 1.0 with no‑ratio options for qualifying borrowers. Investors can obtain up to 80 % LTV on purchases and 75 % on cash‑out refinances, with loan amounts up to $3 million. Angel Oak offers 30‑ or 40‑year terms and interest‑only periods, and it accepts LLC borrowers and foreign nationals. Because of its large loan size, this program fits investors acquiring high‑priced properties in Denver or upscale resort areas like Aspen.

8. New Silver – Best for quick funding and no minimum DSCR

New Silver provides DSCR loans with no minimum DSCR, a maximum LTV of 75 %, and loan amounts from $100 k to $2 million. The lender offers 30‑year fixed and interest‑only programs and accepts projected STR income. Because of its streamlined application, investors can close quickly—an advantage in competitive markets like Boulder or Lakewood where supply is tight. New Silver is ideal for deals where current cash flow is low or for properties undergoing stabilization.

9. RCN Capital – Best for borrowers with strong credit

RCN Capital’s long‑term rental program requires a minimum DSCR of 1.0 and a minimum FICO of 680. The lender offers loan amounts from $150 k to $1.5 million with rates starting near 5.50 %. Up to 80 % LTV is available on purchases and 75 % on cash‑out refinances. RCN Capital is suitable for investors with solid credit who want competitive rates and fast closings.

10. Lima One Capital – Best for rehab financing and long‑term holds

Lima One Capital offers DSCR loans along with renovation and construction financing. Its single‑rental loan program permits minimum DSCR of 1.0, loan amounts from $100 k to $2.5 million, and up to 80 % LTV on purchases and rate‑term refinances. For cash‑out refinances, LTV is limited to 75 %. Lima One does not lend in Alaska, North Dakota, South Dakota or Vermont, but it does operate in Colorado. A separate STR loan product requires DSCR of 1.3+ and minimum FICO of 700, with LTV up to 75 % purchase and 70 % cash‑out. Lima One is well suited for investors who combine fix‑and‑flip strategies with long‑term holds.

Comparison snapshot

Summarising the highlights:

• Select Home Loans: DSCR as low as 1.0, up to 80 % LTV, mid‑600 FICO, supports STRs and quick closings.
  
• Easy Street Capital: No DSCR minimum, 80 % LTV, 640+ FICO, AirDNA used for STR underwriting.
  
• Ridge Street Capital: DSCR 1.0, up to 80 % purchase LTV, 660+ FICO.
  
• Visio Lending: DSCR 1.0, up to 80 % LTV, Airbnb‑friendly.
  
• Kiavi: DSCR about 1.1, max LTV 75 %, tech‑driven platform.
  
• CoreVest: DSCR 1.0, LTV 75 %, portfolio loans.
  
• Angel Oak: DSCR 1.0 or no‑ratio, up to 80 % purchase LTV, $3 million loan limit.
  
• New Silver: No DSCR minimum, LTV 75 %, $100 k–$2 million loan sizes.
  
• RCN Capital: DSCR 1.0, 680+ FICO, 80 % purchase LTV.
  
• Lima One Capital: DSCR 1.0, LTV up to 80 %, $100 k–$2.5 million loans; separate STR program with DSCR 1.3+.

Colorado DSCR guide

Understanding the DSCR formula

DSCR measures a property’s ability to cover its mortgage. To calculate it, divide the property’s monthly gross rental income by monthly debt service, which includes principal, interest, taxes and insurance. A DSCR of 1.0 means income equals debt service; lenders usually prefer ratios above 1.0. OfferMarket notes that programs often require a DSCR of 1.1 or higher for certain deals and that stronger ratios may reduce rates.

Example DSCR using Colorado rents

Denver’s rental market illustrates Colorado’s variety. Apartment List reports that as of August 2025, median rent across all apartment sizes in Denver is $1,688, with typical one‑bedroom units renting for $1,494 and two‑bedrooms for $1,861. Suppose you purchase a single‑family rental in Aurora for $350,000 with a 20 % down payment. The home rents for $2,000 per month. Assuming your monthly mortgage payment (principal and interest at 7 % fixed rate) plus taxes and insurance totals $1,600, the DSCR is $2,000 ÷ $1,600 = 1.25. This ratio would qualify with Select Home Loans, Visio Lending, CoreVest and others. If you were to rent the property as an STR in Breckenridge at an average of $6,500 per month during ski season but only $2,500 per month off‑season, the lender may average the income or use AirDNA projections; DSCR might fluctuate between 1.0 and 3.0. Programs with no minimum DSCR (Easy Street, New Silver) can accommodate greater variability.

Short‑term rental regulations

Colorado does not have a statewide STR statute; regulations are set by counties and municipalities. Under Colorado law, STRs are generally defined as residential properties rented for fewer than 30 days. Owners or property managers typically must obtain an STR‑specific license and a sales and lodging tax or business license. Many mountain towns have adopted stricter rules. For instance, Telluride voters approved a 2.5 % tax on STRs in 2019, with proceeds funding affordable housing. Avon voters approved a 2 % tax, and other towns like Crested Butte, Leadville and Ouray implemented taxes ranging from 2.5 % to 4.92 %. Some counties cap permits or ban STRs in unincorporated areas; unincorporated Routt County bans STRs altogether, while Eagle County imposes no restrictions. Municipalities may require occupancy limits, parking compliance and proof of insurance. When financing an STR, confirm local rules and note that some lenders will lower LTV or require higher DSCR for short‑term rentals.

Local investor considerations

Denver and Front Range: Denver’s median rent of $1,688 places it among the nation’s more expensive cities. High demand in central neighborhoods like LoDo and RiNo pushes one‑bedroom rents above $1,900, while more affordable suburbs like Montbello offer one‑bedrooms around $1,200. Aurora has median rents of $1,308 for a one‑bedroom and $1,655 for a two‑bedroom, and Colorado Springs averages $1,138 for a one‑bedroom and $1,332 for a two‑bedroom. Investors should factor in property taxes and insurance, which may be higher in wildfire‑prone areas.

Boulder and Fort Collins: These college towns have strong demand from students and tech workers. Boulder often tops statewide rent charts; one‑bedroom apartments frequently exceed $1,500, and local ordinances limit the number of unrelated occupants. Fort Collins is slightly more affordable but still experiences low vacancy rates. DSCR lenders may require evidence of long‑term leases or market rent surveys to underwrite student housing.

Mountain towns: Ski resorts like Breckenridge, Vail and Steamboat Springs generate high seasonal rents but face caps on STR permits and additional taxes. Investors should budget for permit fees and potential occupancy caps and expect lower LTVs. Off‑season occupancy can be unpredictable; lenders may average incomes across seasons. Some towns require a local property manager or a 24‑hour emergency contact. Nevertheless, nightly rates can make these markets lucrative when financed correctly.

Qualification checklist for Colorado DSCR loans

1. Credit score: Most lenders require at least 640–680. Select Home Loans and Easy Street may accept mid‑600 scores, while RCN Capital requires 680. Lima One’s STR program requires 700.
   
2. DSCR: Standard programs need a DSCR of 1.0–1.25. Easy Street and New Silver offer no minimum DSCR.
   
3. Reserves: Expect six to twelve months of PITI reserves; high‑cost or STR properties may require more.
   
4. Down payment: Plan on 20 %. Some lenders may allow 15 % down with higher DSCR or credit scores.
   
5. Appraisal: Lenders order an appraisal to determine market rent (Form 1007). In student areas like Boulder, appraisers adjust for by‑the‑bed leases; in mountain markets, they may average seasonal rents.
   
6. Entity structure: Most lenders permit LLC ownership; some require personal guarantors. Ensure your LLC is in good standing.
   
7. Compliance with STR rules: Provide proof of licenses, tax registrations and compliance with occupancy and safety rules, especially in resort towns.

Rates and terms snapshot

DSCR loan rates in Colorado fluctuate with bond yields and investor appetite. As of mid‑2025, most 30‑year fixed DSCR loans price between the high 6 % and mid‑9 % range, depending on DSCR, credit score, LTV and property type. Interest‑only options, cash‑out refinances and STR properties may carry rate premiums. Origination fees usually range from 1 % to 3 %, with appraisal, underwriting, processing and legal fees added. Because Colorado markets vary widely—from modest rentals in Pueblo to luxury homes in Aspen—obtain personalized quotes. All terms are subject to change; this guide is not a commitment to lend.

Frequently asked questions

What DSCR do lenders require in Colorado? Most lenders need at least a 1.0 DSCR, meaning the property’s net rental income covers its mortgage obligations. Some lenders require higher ratios (1.15–1.25) for high‑LTV or STR deals. Easy Street and New Silver have no minimum DSCR.

Can I finance a duplex or four‑plex in Colorado? Yes. Select Home Loans, CoreVest, New Silver, Angel Oak and other lenders finance 2–4 unit properties. Some lenders may adjust LTV or require higher DSCR for triplexes and four‑plexes.

Do DSCR lenders allow AirDNA projections? Many lenders, including Select Home Loans, Easy Street, Visio, New Silver and Lima One, accept AirDNA or similar market analyses for STR income. LTV or DSCR requirements may be stricter than for traditional long‑term rentals.

What credit score is needed? Requirements vary: mid‑600s are acceptable for Select Home Loans and Easy Street; Ridge Street generally requires 660; RCN Capital and Lima One’s STR program require 680 or 700.

Are DSCR loans available to foreign nationals? Yes. Lenders like Angel Oak and some others allow foreign national borrowers with proper documentation and may require larger down payments.

How long does it take to close? Typical closing times range from two to four weeks after completing the application. Digital lenders like Kiavi and New Silver often move faster.

Are DSCR loans recourse or non‑recourse? Many DSCR loans are full recourse, but lenders like CoreVest and Angel Oak may offer non‑recourse options at higher rates. Always ask about personal guarantees.

Call to action

Ready to expand your Colorado rental portfolio? Start with Select Home Loans, our top‑ranked lender. Their flexible DSCR requirements, high LTV allowances and willingness to finance short‑term rentals make them ideal for properties from Denver to the ski slopes. Contact Select Home Loans to learn how you can qualify and receive a customized quote. This guide is for informational purposes only; rates, eligibility and terms are subject to change and are not a commitment to lend.