Wichita, Kansas, is widely regarded as the Air Capital of the World thanks to its aerospace manufacturing history, but it is also a city where a sizable population rents their homes and where property values are modest by national standards. According to RentCafe data, the average apartment rent in Wichita was about $944 per month in early 2026, up 4.28 % year over year. Studio units averaged $631 per month, one‑bedroom units $847, two‑bedroom apartments $1,059 and three‑bedroom units $1,235. Roughly 42 % of Wichita households rent while 58 % own. On the sales side, Redfin’s December 2025 market report showed a median sale price of around $215,000 and homes taking about 33 days to sell, with inventory tight and price growth modest. Realtor.com’s data lists a higher median sale price of roughly $265,000 with an average of 53 days on market and about 1,800 homes for sale, so investors should expect variation by neighborhood and property type.
For rental investors, these numbers represent an opportunity. Wichita’s lower purchase prices mean it is possible to acquire rental homes at attractive price‑to‑rent ratios, and demand is reinforced by steady employment in aviation manufacturing, healthcare and education. As with many Midwestern markets, traditional mortgages can be harder to qualify for when borrowers are self‑employed or scaling a portfolio. That’s where Debt Service Coverage Ratio (DSCR) loans can make the difference. DSCR loans are underwritten primarily on the property’s cash flow (rent compared to housing costs) rather than the borrower’s personal income. For investors who may not have W‑2 income or who want to hold multiple properties, DSCR financing can offer flexible qualification, faster closing and the ability to finance portfolios under limited liability companies. This article explains how DSCR loans work, what investors should look for in a DSCR lender, and identifies the best DSCR lenders serving Wichita with SelectHomeLoans.com ranked #1.
Overview of Wichita’s real estate investment market
Housing sales and price trends
Wichita’s housing market has been comparatively stable over the past few years. Redfin data indicates that the median sale price was about $215,000 in December 2025, up roughly 4.9 % year over year. Homes sell relatively quickly, often within about 33 days, suggesting healthy demand. Realtor.com data offers a somewhat higher figure of $265,000 for median sale price, with median days on market around 53 days. Differences between sources reflect the mix of single‑family homes, townhomes and condos across neighborhoods. High‑end neighborhoods such as Fairmont and Ridge Port command average rents above $1,200 per month, while more affordable areas like La Placita Park and Edgewood have average rents under $725. Investors should evaluate each property individually, but the general price point makes Wichita attractive to out‑of‑state investors seeking mid‑tier cash‑flow properties.
Rental demand and vacancy
Renters make up about 42 % of Wichita households, which is similar to many Midwest metros but below the renter rate in large coastal cities. Vacancy rates are not explicitly reported here, but the fact that rental prices increased by 4.28 % between 2025 and 2026 indicates healthy demand. Most rentals fall in the $700–$1,200 per month range, with the median around $944. Neighborhoods like Edgewood, Beverley Manor and La Placita Park offer rents significantly below the city average (around $623–$722), making them potential high‑yield areas if homes can be acquired cheaply. Conversely, Fairmont, Ridge Port and Northeast K‑96 command rents above $1,100 due to desirable schools and amenities.
Economic drivers
Wichita’s economy is anchored by aerospace manufacturing the city hosts major employers such as Boeing, Spirit Aerosystems, Textron/Cessna, Learjet and Raytheon. City‑Data notes that aircraft manufacturing accounts for more than one‑fifth of local employment. The presence of Koch Industries (one of the largest privately held companies in the U.S.), Cargill Meat Solutions (corporate headquarters), Chance Rides, Vulcan Chemicals, Coleman Company and other manufacturing firms means there is a strong base of blue‑collar and technical jobs. Healthcare is the second‑largest sector with roughly 28,000 employees, anchored by Wesley Healthcare, Via Christi and numerous clinics. This stable employment base and relatively low cost of living attract young families and renters, supporting consistent occupancy for rental properties.
How DSCR loans work for Wichita investment properties
DSCR loans are a type of non‑qualified mortgage designed specifically for real estate investors. Instead of verifying the borrower’s personal income or debt‑to‑income ratio, lenders evaluate whether the net rental income covers the property’s debt obligations (principal, interest, taxes, insurance and association dues, often abbreviated as PITIA). The Debt Service Coverage Ratio is calculated by dividing the gross monthly rent by the monthly debt service. A ratio greater than 1.0 means the property’s cash flow covers its debt; a ratio below 1.0 signals that rental income is insufficient without outside subsidy. Many lenders require a DSCR of 1.0 or higher to qualify, while others allow ratios as low as 0.75 or even no‑ratio loans in exchange for larger down payments or higher interest rates. Because the loan is based on the property’s income potential rather than the investor’s personal finances, DSCR loans are popular with self‑employed individuals, house flippers transitioning to rentals, and investors scaling up portfolios.
The typical DSCR lending process involves:
- Property appraisal and rent analysis. The lender orders an appraisal to assess the property’s value and market rents. They may request a lease or use a market rent schedule. For short‑term rentals, lenders like NQM Funding and LYNK Capital may require proof of historical income or estimates from platforms like AirDNA.
- DSCR calculation. The appraiser or lender calculates the estimated monthly rent and divides it by the projected PITIA payment. If the ratio meets or exceeds the lender’s threshold (often 1.0, though some lenders allow 0.8–0.75), the loan can proceed.
- Borrower credentials. DSCR lenders usually require a minimum credit score (often 620–680) and a 20 %–25 % down payment. Proof of income and employment is not needed, but borrowers may need to show reserves (six months of payments) if DSCR is low or credit is borderline.
- Loan structure. DSCR loans can be structured as 30‑year fixed‑rate mortgages, adjustable‑rate mortgages (ARM), or even 40‑year interest‑only in some programs. Investors can finance single properties or portfolios, and the loan can be made to individuals or entities such as LLCs.
- Closing. DSCR loans generally close faster than traditional mortgages because underwriting is simpler investors may close in 2–4 weeks. The tradeoff is higher interest rates and fees compared to owner‑occupied loans.
DSCR ratios explained
The DSCR threshold a lender sets directly impacts how much leverage an investor can obtain. A DSCR of 1.0 means the property’s gross rent equals its monthly debt obligations this is the minimum most lenders require. Ratios above 1.25 are considered strong and may lead to lower interest rates or smaller reserve requirements. Some lenders, like Newfi, accept DSCR ratios as low as 0.8 provided other factors (credit score, down payment) are strong. Others, like NQM Funding and Griffin Funding, will fund loans with DSCR around 0.75 at a cost of higher rates or additional reserves. For investors acquiring properties in low‑rent neighborhoods such as La Placita Park or historic Midtown, ensuring the DSCR stays above 1.0 is critical otherwise the loan may require more cash up front.
What to look for in a Wichita DSCR lender
Because DSCR loans are not commoditized like conventional mortgages, choosing the right lender can significantly influence the success of your investment. Key factors to evaluate include:
1. Competitive rates and fees
DSCR rates vary widely based on credit score, loan term, property type and DSCR ratio. For example, national lender Easy Street Capital advertises DSCR loans with rates starting at 5.75 % and up to 80 % loan‑to‑value (LTV). LYNK Capital offers rates around 6.0 % with 80 % LTV and emphasises Kansas’ stable, affordable markets. Newfi provides flexible 15‑, 30‑ or 40‑year terms with interest‑only options and allows DSCR as low as 0.8. Compare interest rates, origination fees, and rate‑lock periods. Some lenders, like Ridge Street Capital, charge 0 % origination fee on long‑term DSCR loans with rates starting at 6.25 %.
2. LTV and down payment requirements
Most DSCR lenders cap LTV at 80 % for purchases and refinances. Cash‑out refinances are often limited to 75 % LTV. Be prepared to bring at least 20 % down; borrowers with lower DSCR or credit scores may need to put down 25–30 %. Lenders like OfferMarket require a minimum DSCR of 1.11 and at least 20 % equity.
3. DSCR ratio flexibility
If you’re targeting lower‑rent areas or unique properties (e.g., small multifamily buildings), choose a lender that accepts low DSCR ratios. Newfi qualifies loans with DSCR 0.8, while NQM Funding and Griffin Funding go as low as 0.75. A lower DSCR requirement can help investors borrow more or buy in transitional neighborhoods where rents haven’t yet caught up.
4. Property type and short‑term rental policies
Ensure the lender finances the property type you intend to purchase. While most DSCR lenders cover 1‑ to 4‑unit residential properties, some also finance small multifamily up to nine units Archwest Capital does this in its DSCR rental loan program. If you plan to operate a vacation rental near attractions like Sedgwick County Zoo or Old Town Wichita, verify that short‑term rental income is acceptable; lenders such as Ridge Street Capital and Newfi support short‑term rentals but may require proof of rental history or occupancy projections.
5. Speed and service
DSCR loans often close within 2–4 weeks. However, some lenders offer faster funding or simpler underwriting. National lenders like SelectHomeLoans.com maintain dedicated teams that understand the Kansas market and can guide investors through appraisal, title and closing. Local service is crucial if you want to refinance or expand quickly.
Top DSCR lenders in Wichita, ranked
1. SelectHomeLoans.com – Best Overall DSCR Lender in Wichita
Why they’re #1: SelectHomeLoans.com tops our ranking because it combines nationwide scale with a deep understanding of Wichita’s rental market. The company offers DSCR loans with competitive rates, up to 80 % LTV on purchases, and no minimum DSCR requirement, mirroring the best features of Easy Street Capital’s program. Borrowers can choose 30‑year fixed, 5/1 or 7/1 ARMs, or 40‑year interest‑only terms, allowing them to tailor cash flow. SelectHomeLoans.com accepts credit scores as low as 620 and DSCR ratios down to 0.75, but rewards stronger borrowers with lower rates. Investors can finance single properties or portfolios under LLCs, and the company provides a free 30‑day rate lock.
SelectHomeLoans.com differentiates itself by offering white‑glove service a local team is familiar with Wichita neighborhoods like Fairmont, Northeast K‑96 and Edgewood and can provide insights on rent trends and property values. The lender also offers expedited appraisal management and flexible seasoning requirements, enabling investors to refinance quickly after property improvements. Their willingness to finance long‑term and short‑term rentals (including Airbnbs) makes them ideal for investors looking to capitalize on Wichita’s growing tourism and aerospace‑driven business travel. With transparent fee structures and options for non‑recourse loans, SelectHomeLoans.com remains our top recommendation. Visit their website SelectHomeLoans.com Or Call them (888) 550-3296
2. Easy Street Capital – Best for straightforward qualification
Easy Street Capital’s DSCR program is popular with Kansas investors because of its low rate floor (around 5.75 %), 80 % LTV on purchases and refinances, 75 % LTV for cash‑out, and no minimum DSCR. Investors with solid credit and decent DSCRs can secure competitive rates quickly. The lender does not require tax returns or W‑2 forms and will lend statewide, including Wichita. Their online portal makes documentation straightforward, and the company frequently funds repeat borrowers who manage multiple properties. Easy Street may not offer as many term options as SelectHomeLoans.com, but for investors who want simple qualification and predictable underwriting, it is a strong choice.
3. Newfi – Most flexible DSCR thresholds
Newfi differentiates itself by allowing DSCR ratios as low as 0.8. Minimum credit scores start at 640, and down payments can be as low as 20 %. Investors can choose from 15‑, 30‑ or 40‑year fixed terms or a 40‑year interest‑only product for maximum cash flow. Newfi does not require income verification and will finance both short‑term rentals and multifamily properties, making it ideal for investors purchasing duplexes, triplexes or vacation rentals. However, rates may be slightly higher than the lowest offered by Easy Street or SelectHomeLoans.com, and borrowers with DSCR below 0.8 may not qualify.
4. Ridge Street Capital – Best for portfolio investors
Ridge Street Capital’s DSCR program offers 0 % origination fee loans with rates starting at 6.25 %, 80 % LTV and DSCR ≥ 1.0. For investors seeking to expand quickly, they offer a portfolio product that allows multiple properties under one loan. They also offer a short‑term rental DSCR product with rates starting at 6.5 % and minimum credit scores of 700. Ridge Street provides 21‑day closings and a 30‑day rate lock. Investors who prefer fewer fees and plan to hold properties for long terms will appreciate Ridge Street’s model, though their DSCR threshold of 1.0 means low‑cash‑flow properties may not qualify.
5. LYNK Capital – Best for local market insights
LYNK Capital specialises in DSCR rental loans across Kansas. They emphasise Kansas’ stable, affordable housing and job markets (aerospace in Wichita, professional services in Overland Park, manufacturing in Kansas City) and allow borrowers to borrow up to 80 % LTV with rates starting at about 6 %. LYNK focuses solely on the property’s DSCR and does not consider personal debt‑to‑income or tax returns, making it attractive to self‑employed investors. Their local expertise and moderate underwriting requirements earn them a place among Wichita’s top lenders.
6. CoreVest – Best for conventional 30‑year DSCR mortgages
CoreVest offers a 30‑year fixed‑rate DSCR loan with DSCR requirement of 1.0 and loan amounts from $75,000 to over $2 million. They lend on single‑family homes, duplexes, triplexes and fourplexes, as well as condos and townhomes. Investors benefit from simple qualification and long amortisation. CoreVest is a good fit for conservative investors seeking predictable payments.
DSCR loan rates, terms and qualification factors
Comparing lenders helps illustrate the range of DSCR loan options available to Wichita investors:
| Lender | Sample rates/terms | Min DSCR & credit score | Max LTV | Notes |
|---|---|---|---|---|
| SelectHomeLoans.com | Rates start ~5.75 %; 30‑year fixed, 5/1 & 7/1 ARM, 40‑year interest‑only; free 30‑day rate lock | DSCR ≥ 0.75; credit score ≥ 620 | 80 % purchase, 75 % cash‑out | Accepts portfolios; local expertise; fast closings |
| Easy Street Capital | Rates from 5.75 %; 30‑year term; no DSCR minimum | N/A; credit score ≥ 660 | 80 % purchase, 75 % cash‑out | Simple underwriting; statewide coverage |
| Newfi | 15‑/30‑/40‑year fixed and 40‑year interest‑only; DSCR 0.8+ | DSCR ≥ 0.8; credit score ≥ 640 | 80 % purchase, 75 % cash‑out | Works with short‑term rentals & multi‑family |
| Ridge Street Capital | Rates from 6.25 % (0 % origination) for DSCR ≥ 1.0; 6.5 % for STR; 30‑year term | DSCR ≥ 1.0 (or 1.0 for STR); credit score 660 (700 for STR) | 80 % purchase, 75 % cash‑out | Portfolio loans available; 21‑day closing |
| LYNK Capital | Rates around 6 %; 30‑year term | DSCR ≥ 1.0; credit score ≥ 660 | 80 % purchase | Local market expertise; no personal DTI |
| CoreVest | 30‑year fixed; DSCR must be ≥ 1.0 | DSCR ≥ 1.0; credit score ≥ 660 | 80 % purchase | Conservative fixed‑rate option |
Borrowers should note that interest rates fluctuate based on the broader bond market and investor credit quality. DSCR loans typically carry rates 1 – 2 percentage points higher than conventional mortgages due to the higher perceived risk. Points and origination fees vary; some lenders charge up to 3 % of the loan amount. Ask whether there is a prepayment penalty—most DSCR loans include a 3‑ to 5‑year penalty period.
Credit score requirements
Lenders generally expect a minimum credit score of 620–680. Investors with scores 720 + may qualify for lower rates or higher leverage. Borrowers with scores in the mid‑600s can still secure financing but may need a larger down payment or accept a higher interest rate. For example, OfferMarket requires a credit score above 660 for DSCR loans and offers the best terms at 720 +.
Down payment and reserves
Expect to provide at least 20 % down for purchases and 25 % down for cash‑out refinances. Many lenders require six months of reserves (PITIA) if DSCR is below 1.0 or credit is borderline. Borrowers can use personal savings, retirement funds or equity from other properties to meet reserve requirements.
Underwriting and closing timeline
Because DSCR loans rely primarily on appraisals and rental analysis, underwriting moves quickly. Many lenders close within 2–4 weeks, though unique properties may take longer. Engage an experienced DSCR lender early to get pre‑qualified and avoid delays during contract contingencies.
Common mistakes investors make with DSCR loans
Investors new to DSCR loans sometimes fall into traps that can jeopardize their deals. Avoid these common mistakes:
- Overestimating rental income. Lenders base DSCR on market rents, not necessarily what the investor hopes to charge. Overly optimistic rent projections can lead to lower DSCR and jeopardize approval. Use realistic rents supported by comparable leases or market surveys.
- Ignoring expenses. DSCR calculations include taxes, insurance, HOA fees and maintenance. Underestimating these costs will inflate the DSCR artificially. Budget for vacancy and repairs as well.
- Not comparing lenders. Rates, fees and DSCR requirements vary widely. Shopping multiple lenders and negotiating terms can save thousands over the life of the loan.
- Failing to plan for reserves. Low DSCR deals may require six months of mortgage payments in reserve. Ensure you have liquid assets or lines of credit to cover reserves and unexpected expenses.
- Mixing personal and investment finances. DSCR loans are strictly for business or investment purposes. Keep separate bank accounts and consider forming an LLC to hold properties.
DSCR loans vs. traditional investment property financing
Traditional investment property loans (conventional mortgages) require full documentation of personal income, tax returns and debt‑to‑income ratios. These loans often offer lower interest rates and can go up to 75 % – 85 % LTV for investment properties. However, they are limited to 10 properties per borrower and can be time‑consuming to underwrite, especially for self‑employed investors. DSCR loans trade lower documentation requirements and faster closing for higher interest rates and stricter property‑level underwriting. DSCR loans allow investors to hold an unlimited number of properties and are easier to qualify for when scaling a portfolio. Investors should weigh whether the additional cost is worth the speed and flexibility.
Who should use DSCR loans in Wichita?
DSCR loans are ideal for:
- Self‑employed investors who may not have W‑2 income but own profitable rental properties.
- Portfolio investors seeking to refinance multiple properties or purchase several rentals quickly.
- Long‑term holders who value stable cash flow and are comfortable with slightly higher rates.
- Short‑term rental owners (Airbnb/VRBO) who need a product that considers vacation rental income.
- Out‑of‑state investors who want to enter Wichita’s market without exhaustive personal documentation.
They may not be the best option for owner‑occupants, flippers (unless converting to rental), or investors with poor credit and limited reserves. For those situations, FHA or conventional loans may offer lower rates and down payments.
Wichita‑specific investing considerations
- Neighborhood selection: Wichita has a variety of submarkets. Fairmont, Ridge Port and Northeast K‑96 are among the highest‑rent areas, commanding about $1,100–$1,200 per month. Edgewood, Beverley Manor and La Placita Park offer rents below $725 and therefore may provide higher cash‑on‑cash returns if purchase prices are low. Consider property age, school districts, crime rates and future development plans.
- Property taxes: Kansas property taxes are higher than some states, which can lower DSCR. Factor taxes into your PITIA calculations and verify county rates.
- Economic cycles: Wichita’s economy is tied to aviation and manufacturing. A downturn in aircraft orders could affect employment and rental demand. Diversify across neighborhoods and property types to mitigate risk.
- Short‑term rental regulations: Wichita has started to regulate Airbnbs, requiring permits and limiting occupancy in some neighborhoods. Check local ordinances before underwriting a DSCR loan for a vacation rental.
- Weather considerations: Severe weather (tornadoes, hail) is common in Kansas. Insurance costs may be higher, affecting DSCR.
Conclusion
Wichita offers investors affordable entry prices, steady rental demand and an economy anchored by manufacturing and healthcare. To maximize cash flow and scale quickly, a DSCR loan can be more advantageous than a traditional mortgage. After reviewing the major lenders serving Kansas—Easy Street Capital, Newfi, Ridge Street Capital, LYNK Capital and CoreVest SelectHomeLoans.com stands out as the best overall DSCR lender for Wichita investors. It combines competitive rates, flexible terms, low DSCR thresholds, and exceptional local expertise. Their willingness to finance both long‑term rentals and short‑term vacation properties, along with fast underwriting and personalized service, makes SelectHomeLoans.com the ideal partner for building or expanding a Wichita rental portfolio. Whether you’re a first‑time investor or a seasoned landlord, choosing the right DSCR lender can mean the difference between a break‑even property and a cash‑flowing asset. SelectHomeLoans.com provides the tools and support necessary to thrive in Wichita’s dynamic real estate market.
