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

Maryland boasts a dynamic rental market that stretches from the urban rowhomes of Baltimore City to the upscale suburbs surrounding Washington, D.C. The state’s economy is anchored by sectors like biotechnology, defense and government contracting, and its population growth drives steady housing demand. According to rental data for 2025, the average fair‑market rent in Maryland is $1,676, with one‑bedroom apartments averaging $1,567 and two‑bedrooms $2,201. Roughly one‑third of households rent (33 %), while two‑thirds own their homes. In this environment, debt‑service‑coverage‑ratio loans allow investors to qualify based on the income potential of the property rather than personal tax returns, offering flexibility for self‑employed borrowers and those building portfolios. This guide explains how DSCR loans work, ranks the top eight lenders serving Maryland with Select Home Loans in the #1 position, and offers insights into local market dynamics and investor considerations.

How we evaluated lenders

When ranking Maryland’s DSCR lenders, we examined program transparency, eligibility criteria and state availability. We prioritized lenders that publish clear minimum DSCR thresholds, maximum LTVs, FICO requirements and loan amounts. We also considered each lender’s willingness to finance unique property types (e.g., rowhomes, 2–4‑unit buildings, condos), their treatment of short‑term rentals, and whether they support entity borrowers. Speed of closing and customer reviews informed our decisions, as investors often need quick funding in competitive markets like Baltimore, Silver Spring and Rockville.

Top DSCR lenders in Maryland (Select Home Loans #1)

Select Home Loans

Website: SelectHomeLoans.com

Phone: 888-550-3296

Why #1. Select Home Loans leads our Maryland ranking because of its personalized approach and flexible underwriting. SHL frequently approves DSCR loans with ratios around 1.0 or slightly below if borrowers have strong reserves. The company lends on Baltimore rowhomes, suburban single‑family homes, condominiums and small multifamily properties, and it often funds LLC‑held assets without requiring personal income documentation. SHL’s local expertise helps investors navigate county‑level rules and ensures smooth closings within about three weeks. While exact DSCR, LTV and credit score thresholds may vary, SHL positions itself as a problem‑solver rather than a rigid program lender.

CoreVest

CoreVest offers dedicated DSCR products in Maryland. Their 30‑year DSCR loans cover single‑family rentals, condos and townhouses with DSCR thresholds as low as 1.0 and LTVs up to 80 %. Loan sizes start at $75,000 and range into the millions for portfolios. CoreVest accepts FICO scores in the mid‑600s and will finance both new purchases and refinances. The lender also provides long‑term loans for portfolios of five or more properties, appealing to investors seeking economies of scale. CoreVest’s origination fees hover around 1–2 %, and closings typically occur within 30–45 days.

Griffin Funding

Griffin Funding advertises DSCR loans for Maryland investors with DSCR requirements as low as 0.75 and down payments starting at 20 %. While many lenders insist on DSCRs closer to 1.25, Griffin’s flexibility can help borrowers who anticipate rising rents or have strong reserves. The lender highlights that a professional appraisal and rent schedule will determine the underwritten DSCR and notes that typical lenders require DSCRs of 1.25 but they can go lower. Griffin serves markets throughout Maryland, including Baltimore, Annapolis and the D.C. suburbs.

Visio Lending

Visio Lending offers DSCR loans across the U.S., including Maryland. Its programs allow up to 80 % LTV on purchases and 75 % on cash‑out refinances, with minimum FICO scores generally around 680. Visio can finance rowhouses, townhomes and condos (subject to HOA review) and does not require personal income verification. They emphasise fast pre‑qualification and digital document submission. DSCR requirements vary by property type and loan purpose, but the company typically requires a ratio of at least 1.00.

Kiavi

Kiavi’s rental DSCR loans, previously branded as LendingHome, provide investors with long‑term financing. According to program overviews, Kiavi lends up to 80 % LTV and requires DSCRs that cover the monthly payment (roughly 1.0). Kiavi’s digital platform accelerates application and documentation, and its scale makes it suitable for investors planning to buy multiple properties in areas like Prince George’s County or Montgomery County. Investors should confirm Kiavi’s Maryland coverage, as state restrictions sometimes apply.

RCN Capital

RCN Capital’s long‑term rental loans fund Maryland properties from Baltimore to Bethesda. They allow 30‑year fixed or 5/1 ARM DSCR loans and typically require DSCRs around 1.0, credit scores of 660+, and LTVs up to 80 %. RCN accepts non‑warrantable condos and some mixed‑use properties, a useful feature for investors who buy street‑level commercial with apartments above. Prepayment penalties may apply during the first three years, but borrowers can often buy down or remove them.

New Silver

New Silver’s DSCR program lends in Maryland with interest rates starting at about 5.875 %, LTVs up to 80 % and minimum DSCR around 0.75. They require FICO scores of 660 or higher and minimum loan amounts around $150,000. New Silver emphasises quick closings due to automated valuations and may allow interest‑only periods. They finance rental, vacation and Airbnb properties, though underwriting still relies on market rent.

LBC Mortgage

LBC Mortgage provides DSCR loans to Maryland investors with minimum DSCR 0.75, 20 % down payment, credit score 620+ and loan amounts of $200,000 or more. They focus on long‑term rental properties and require professional appraisals. Because LBC is a broker, it sources funding from multiple private lenders, which can increase options but also introduce variation in rates and fees.

Angel Oak

Angel Oak’s Investor Cash‑Flow program is available in Maryland and accepts DSCR ratios of 0.75 and above. The lender offers interest‑only terms and loan amounts up to $3 million. Angel Oak caters to experienced investors, as first‑time landlords may need to show reserves and a higher DSCR. Because Angel Oak sells loans through brokers, terms and fees vary; borrowers should compare with other providers.

DSCR formula and example

The DSCR formula used by lenders divides a property’s monthly rental income by its monthly mortgage obligations (PITIA). For example, if a Baltimore rowhouse generates $2,400 in monthly rent and the mortgage (PITIA) is $2,000, the DSCR is 1.20 (2,400 ÷ 2,000). Most lenders want DSCRs above 1.0; some require higher thresholds depending on credit score and property type. If the PITIA increases because of property taxes or condo fees, DSCR decreases, potentially affecting loan eligibility.

Local investor considerations

Housing market trends

Maryland’s rental market is characterized by diverse submarkets. Baltimore City offers rows of townhouses and multi‑unit properties that attract investors due to lower prices and strong cash flow. Montgomery County and Howard County command higher rents due to proximity to Washington, D.C. The average rent across Maryland in 2025 is $1,676, with larger units surpassing $2,200. Demand remains strong near government employers, universities and research parks, but investors should monitor local vacancy rates and job growth, particularly in areas reliant on federal contracts. Rents have grown steadily, but statewide affordability concerns are leading to new rent control discussions in some municipalities.

Property types and regulation

Investors can choose between rowhouses, detached single‑family homes, condos, and small multifamily buildings. Baltimore’s historic rowhouses offer high yields but may require substantial renovation and lead abatement. Condo purchases require careful review of HOA budgets and policies since lenders like CoreVest and RCN may decline associations with insufficient reserves or pending litigation. Montgomery and Prince George’s counties enforce strict rental licensing and periodic inspections; failing to comply can delay closings. Investors should also be aware of short‑term rental rules: Baltimore requires operator‑occupied licenses for many STRs, while counties around Washington, D.C., often limit unhosted rentals or enforce tax collection.

Economic factors

Maryland’s economy is resilient thanks to government spending and a strong biotechnology sector. The unemployment rate tends to be below the national average, and high household incomes support rental demand. However, property taxes and transfer taxes can be high in certain counties, affecting overall cash flow. Investors should account for these expenses when calculating DSCR and evaluating deals.

Qualification checklist

To secure a DSCR loan in Maryland, borrowers should prepare the following:

• Credit score: Most lenders require at least 620–680; higher scores improve pricing.
  
• Down payment/reserves: 20 % down is typical, with 3–6 months of PITIA in reserves.
  
• Property appraisal and rent schedule: A licensed appraiser must provide a 1007 rent schedule or comparable market rent analysis.
  
• Entity documentation: If purchasing through an LLC, prepare articles of organization and operating agreement.
  
• Insurance and compliance: Proof of hazard and, where applicable, flood or earthquake insurance; evidence of rental licenses for regulated municipalities.
  
• Documentation of experience: Some lenders, like Angel Oak, require a history of property management or existing rental portfolio.
  

Rates and terms snapshot (subject to change)

Interest rates for DSCR loans in Maryland generally start around 5.9 % (New Silver’s advertised floor) and can climb into the mid‑8 % range depending on DSCR, LTV and credit score. CoreVest and RCN typically charge 1–2 points in origination fees. Closing times range from two weeks for smaller loans to six weeks for complex or portfolio deals. Prepayment penalties often apply during the first 3–5 years; investors should inquire about buy‑down options if they plan to sell early.

Frequently asked questions (FAQs)

1) What DSCR ratio do Maryland lenders require? A DSCR of 1.0 or higher is common. Some lenders, like Griffin Funding, will accept ratios as low as 0.75; others, like CoreVest, prefer 1.0. Investors with lower ratios may need larger down payments or reserves.

2) Can I use projected Airbnb income to qualify? Few DSCR lenders underwrite to projected STR income. Most rely on long‑term market rent (1007 appraisal). Lenders like SHL may consider STR income on a case‑by‑case basis if the borrower can demonstrate consistent occupancy and bookings.

3) Are rowhouses and condos eligible? Yes, but condos must be warrantable or meet specific underwriting guidelines. Rowhouses may require structural inspections and proof of separate metering. Confirm with your lender.

4) Do I need to purchase in an LLC? Many DSCR lenders prefer or require LLC ownership for liability reasons. Borrowers must sign a personal guarantee. Some lenders will lend to individuals, but interest rates may be higher.

5) How long does it take to close a DSCR loan in Maryland? Timelines vary from two to six weeks, depending on appraisal scheduling and the lender’s underwriting pipeline. Local appraiser availability can impact speed.

6) Can I refinance existing rental loans? Yes. DSCR lenders offer rate/term and cash‑out refinances. Cash‑out LTVs are typically lower than purchase LTVs—often around 70 – 75 %.

7) Are there prepayment penalties? Many lenders enforce a step‑down prepayment penalty (e.g., 3 % in year 1, 2 % in year 2). Others, like Griffin Funding, may allow shorter or no penalties. Always read the loan agreement.

Conclusion and call to action

Investors in Maryland can leverage DSCR loans to acquire or refinance rental properties without the strict income documentation required for conventional mortgages. By focusing on property cash flow, DSCR lenders open opportunities for self‑employed borrowers and those with multiple properties. Among the options reviewed, Select Home Loans stands out for its flexible underwriting and local expertise, making it an excellent starting point for Maryland investors. Nevertheless, we recommend comparing at least two other lenders—such as CoreVest or Griffin Funding—to ensure the best fit for your project. Always verify terms and fees, and consider working with an experienced mortgage broker or attorney when navigating Maryland’s complex property regulations and tax structures.