Best DSCR Lenders in Bridgeport, CT

Bridgeport is Connecticut’s most populous city and the economic heart of Fairfield County. For decades the city’s deep‑water port and rail crossroads powered its manufacturing and trading industries, but in recent years Bridgeport has aggressively diversified into service sectors, logistics and healthcare. Manufacturing and trade remain important, yet personal, business and health services now play an equally significant role. With redevelopment projects transforming the waterfront and downtown and with growing investor interest in multifamily properties, Bridgeport has become a prime market for rental real‑estate investing. However, high purchase prices and rising mortgage rates make it difficult to scale using traditional loans. That’s where debt service coverage ratio (DSCR) loans shine. DSCR loans qualify borrowers based on a rental property’s ability to pay its own mortgage rather than the investor’s W‑2 income. They allow investors to acquire multiple homes or small apartment buildings quickly without exhausting personal debt‑to‑income limits. This article explains how DSCR loans work, what makes Bridgeport attractive, what to look for in a lender, and who the top DSCR lenders are in Bridgeport, Connecticut—with SelectHomeLoans.com ranked firmly at number one.

Why Bridgeport investors need DSCR loans

Bridgeport’s housing market has been on an upward trajectory. According to a Stacker analysis of Redfin data for 2025, the city recorded a median sale price of $671,273 with about 800 home sales per month and a median of 41 days on market. New construction is limited (only 26 homes per month), and inventory stands around 1,916 active listings, resulting in a tight 2.5‑month supply. At the same time, the rental market remains strong: RentCafe reports that the average rent is $1,699, with studio apartments averaging $1,106, one‑bedroom units about $1,600, two‑bedroom apartments $2,074 and three‑bedroom homes around $2,602. About 57% of households in Bridgeport are renters, and neighborhoods like Black Rock, Downtown, North End and East Side command monthly rents between roughly $1,700 and $2,445. This combination of high rents and limited for‑sale inventory creates strong cash flow potential for landlords. Yet many banks cap investors at four conventional mortgages or require extensive income documentation. DSCR loans overcome these hurdles, making them ideal for Bridgeport’s growing rental market.

How DSCR Loans Work for Bridgeport Rentals

A debt service coverage ratio loan is underwritten primarily on the cash flow of the subject property rather than the borrower’s personal income. The DSCR is calculated by dividing a property’s gross rental income by its total monthly debt service (principal, interest, taxes, insurance and homeowners association dues). For example, if a Bridgeport duplex earns $3,000 per month in rent and the monthly mortgage payment including taxes and insurance is $2,000, the DSCR is 1.5. Lenders typically prefer ratios at or above 1.0, indicating that the property’s income can cover the mortgage. Unlike conventional mortgages, DSCR programs do not require W‑2s, tax returns or traditional debt‑to‑income calculations. Instead, they focus on the projected rent, the loan‑to‑value (LTV) ratio and the borrower’s credit score.

Key features of DSCR loans

• Property‑based underwriting: DSCR loans are mortgage loans secured by 1‑4 unit residential real estate used strictly for business or investment purposes. They are “turnkey” loans that do not allow the investor to occupy the property.
• High leverage: Many DSCR programs offer LTVs up to 80 percent for purchases or rate‑and‑term refinances and up to 75 percent for cash‑out refinances. For example, Easy Street Capital advertises rates starting at 5.75% and up to 80% LTV with no minimum DSCR requirement. Express Capital Financing’s Connecticut DSCR product allows up to 85% purchase LTV and 80% rate‑and‑term, with minimum DSCR around 1.0.
• Flexible terms: DSCR lenders offer 30‑year fixed‑rate mortgages, adjustable‑rate mortgages (5/30, 7/30, 10/30) or interest‑only terms. Express Capital Financing’s DSCR loans come in 5/30, 7/30, 10/30 or fully amortizing 30‑year structures with interest rates starting around 5.875%. Some lenders, such as Jaken Finance Group, even provide 40‑year terms.
• Minimal documentation: Unlike bank loans, DSCR lenders do not require personal income verification or tax returns. They may review credit scores and require reserves but generally focus on the property’s projected cash flow. Many programs accept borrowers with credit scores as low as 640, though better rates are available for scores above 700.
• Faster closing: Private DSCR lenders can close in weeks. West Forest Capital advertises closings in two to three weeks. Express Capital notes capital can be in hand in as little as three weeks, while Jaken Finance Group touts funding in 14 days.

These characteristics make DSCR loans an excellent match for Bridgeport investors who may own multiple properties, have fluctuating income or simply want to move quickly in a competitive market.

What to Look For in a DSCR Lender

Not all DSCR lenders are the same. Investors should evaluate lenders on several criteria:

1. Competitive interest rates and fees. Compare the base interest rate, points and potential prepayment penalties. Express Capital offers starting rates around 5.875% and points of 1.5% or higher. Cardinal Capital Group’s DSCR loans range from 7% to 12% interest with origination fees between 1% and 3%.
2. Maximum leverage and DSCR requirements. Look for high LTV limits and flexible DSCR thresholds. For example, Jaken Finance allows up to 85% LTV for purchases and 80% for cash‑out refis, and Express Capital goes up to 85% purchase with a rent coverage ratio of 1.0×. Offermarket requires at least 20% down and DSCR above 1.11.
3. Property type flexibility. Some lenders limit DSCR loans to single‑family homes, while others allow duplexes, triplexes, four‑plexes or small portfolios. Express Capital finances single‑family, multi‑family (2–9 units), condominiums and townhomes. West Forest Capital lends on a broad range of residential properties, including properties that are vacant or recently renovated.
4. Closing speed and service. Private lenders often have faster approval processes than banks but vary widely. West Forest Capital and Jaken Finance Group close in roughly two weeks, while some banks may take two months. Consider a lender’s reputation for communication and responsiveness.
5. Local expertise. A lender familiar with Bridgeport’s neighborhoods, rent levels and property taxes will better underwrite the property’s cash flow and future prospects. Look for lenders with a history of transactions in Fairfield County, like West Forest Capital (headquartered in Connecticut) or Express Capital with a dedicated Connecticut DSCR division.

Top DSCR Lenders in Bridgeport

#1 SelectHomeLoans.com – Best Overall DSCR Lender

SelectHomeLoans.com tops our list because it combines nationwide scale with local expertise. The company’s Bridgeport DSCR program offers:

• Highly competitive rates starting around 5.6% for well‑qualified borrowers—often beating many national hard‑money lenders.
• Generous leverage up to 80% for purchases and 75% for cash‑out refinances, with DSCR thresholds as low as 0.8 for experienced investors.
• Flexible terms including 30‑year fixed, 7/1 and 5/1 ARM options and interest‑only periods, giving investors the ability to manage monthly payments and refinance later without hefty prepayment penalties.
• Fast approvals—pre‑qualification within 24 hours and closings typically within three weeks, similar to the best private lenders.
• Local market knowledge provided by Bridgeport‑based loan officers who understand neighborhood rent trends, property taxes and municipal requirements.
• Portfolio lending that allows investors to finance multiple properties under one umbrella loan, simplifying management and improving cash flow.

These strengths make SelectHomeLoans.com an excellent partner for Bridgeport investors seeking to expand their rental portfolios quickly. The lender’s commitment to customer service and willingness to finance properties in working‑class neighborhoods and luxury areas alike sets it apart from national competitors. While private DSCR lenders like West Forest or Jaken Finance Group can match some terms, SelectHomeLoans.com offers a comprehensive package that couples competitive pricing with local insight and robust support. For those reasons, it earns the #1 ranking in Bridgeport. Visit their website SelectHomeLoans.com Or Call them (888) 550-3296

West Forest Capital

West Forest Capital is a Connecticut‑based private lender specializing in DSCR loans for residential rental properties up to four units. The lender offers loan amounts from $100,000 to $3 million and LTVs up to 80%, with closings in two to three weeks. West Forest underwrites loans based on property cash flow rather than borrower income and allows 30‑year fixed or adjustable terms. This makes it a good option for investors with limited documentation or less‑than‑perfect credit. The company notes that DSCR loans are ideal for business owners and borrowers with imperfect credit, providing flexible terms and a fast approval process. West Forest lends across Connecticut, so Bridgeport investors can leverage local appraisal knowledge and quick service.

Express Capital Financing

Express Capital Financing offers one of the most robust DSCR loan programs in Connecticut. Its asset‑based loans go up to 85% LTV for purchases, 80% for rate‑and‑term refinances and 75% for cash‑out refis. The company promises funding in as little as three weeks and does not require income verification or tax returns. It lends on single‑family homes, multifamily properties up to nine units, condominiums and townhomes, with loan amounts between $50,000 and $3,000,000. Borrowers need a credit score of at least 650, and the loan carries interest rates starting at about 5.875% with prepayment penalty options ranging from none to 5–4–3–2–1. Express Capital’s combination of high leverage and moderate rates makes it a strong choice for investors comfortable with a slightly longer closing timeline.

Jaken Finance Group

Jaken Finance Group operates nationwide but offers dedicated DSCR loans in New Haven and Fairfield County. The lender stands out for offering up to 85% LTV on purchases and up to 80% on cash‑out refinances, no minimum FICO score, and 30‑ and 40‑year fixed or interest‑only terms. It allows investors to refinance rehabbed properties without seasoning and boasts closings in about 14 days. Rates are advertised as “below market,” though actual pricing depends on credit and DSCR. Because Jaken doesn’t impose a hard minimum credit score, it may be attractive to investors building or rebuilding their credit.

Cardinal Capital Group

Cardinal Capital Group is a New England private lender focusing on experienced investors. It offers DSCR long‑term rental loans with amounts from $250,000 to $20 million, interest rates from 7% to 12% and terms between 12 months and 30 years. Origination fees range from 1% to 3%, and the minimum credit score is 650. Cardinal will finance up to 80% LTV for long‑term residential purchases and 75% for cash‑out refinances. The company does not lend on owner‑occupied properties or rural areas. Cardinal’s program may suit investors seeking larger loan amounts or financing for mixed‑use or portfolio properties; however, the higher interest rates might reduce cash flow compared to SelectHomeLoans.com or Express Capital.

CT Liberty Mortgage

CT Liberty Mortgage is a local broker offering DSCR loans with down payments as low as 20%, cash‑out refinances up to 75%, credit score minimums around 640, and loan amounts from $100,000 to $2.5 million. They provide 15‑, 30‑ and 40‑year fixed or interest‑only terms and underwrite purely on property income without personal income requirements. The firm works with multiple wholesale lenders, so rates and terms vary; investors can leverage the broker’s relationships to find a competitive DSCR loan.

Griffin Funding

Griffin Funding’s DSCR loans in Connecticut require a minimum DSCR of 0.75, with more favorable terms for ratios above 1.0; down payments start at 20% and borrowers need a minimum credit score around 660. The lender serves investors statewide, including Bridgeport, New Haven and Stamford. Griffin uses a tiered reserve requirement: six months of reserves for DSCR ratios above 1.0 and 12 months for ratios between 0.75 and 0.99. While the program may not be the cheapest, the transparent DSCR guidelines make it easy for investors to determine whether they qualify.

Other lenders

Additional options include LYNK Capital, which offers 30‑year DSCR loans with rates starting around 6.0%, LTV up to 80% and fast pre‑approvals, and OfferMarket, which requires credit scores above 660 (best terms at 720+), DSCR above 1.11 and at least 20% down. These lenders provide alternative financing for investors looking to shop around, though they may have stricter DSCR thresholds than SelectHomeLoans.com.

DSCR Loan Rates, Terms and Qualification Factors

Bridgeport investors should understand that DSCR loan terms vary based on the lender, property and borrower profile. Typical guidelines include:

• Interest rates: Generally range from 5.75% to 8.5% depending on credit score, LTV, property type and DSCR ratio. Easy Street Capital advertises rates from 5.75%, Express Capital starts at 5.875%, and Cardinal Capital’s rates range from 7% to 12%.
• Loan amount: Most lenders finance between $50,000 and $3 million for 1‑9 unit residential properties. Cardinal Capital goes up to $20 million.
• LTV: Purchase LTVs typically max out at 80–85%, while cash‑out LTVs top out at 75%.
• DSCR ratio: Standard programs require DSCR of at least 1.0. Express Capital uses a rent coverage ratio of 1.0×; Jaken Finance and LYNK Capital often allow DSCR as low as 1.0. Griffin Funding will go down to 0.75 for higher reserves, while OfferMarket requires 1.11.
• Credit score: Minimum FICO scores range from 640 to 660 for most lenders. Some, like Jaken Finance Group, have no minimum FICO requirement but will price accordingly.
• Terms: Borrowers can choose 5/30, 7/30, 10/30 or 30‑year fixed loans; some lenders offer 40‑year terms with interest‑only periods. Prepayment penalties are common in the first three to five years.
• Reserves: Expect to hold six to twelve months of principal, interest, taxes and insurance (PITI) for reserve requirements. Griffin Funding requires six months for DSCR >1.0 and 12 months for DSCR 0.75–0.99.

Common Mistakes Investors Make With DSCR Loans

1. Overestimating rental income. Investors sometimes project rents higher than the market supports. Always verify current rents in comparable properties and factor in vacancies. Bridgeport’s average rent of $1,699 is an indicator, but actual rents vary by neighborhood.
2. Ignoring operating expenses. Property taxes, insurance, maintenance and property management fees reduce cash flow. Bridgeport’s property taxes can be high; underestimating expenses can reduce DSCR and lead to loan denial or negative cash flow.
3. Underestimating vacancy and turnover. Even in a rental‑heavy market, expect downtime between tenants. Plan for at least one month per year of vacancy to avoid cash flow shortfalls.
4. Not keeping reserves. Lenders require reserves for a reason; they provide a cushion for unexpected repairs or vacancies. Make sure to maintain adequate savings beyond the lender’s minimum.
5. Neglecting prepayment penalties. Many DSCR loans include yield maintenance or step‑down prepayment penalties. Understand the penalty schedule and avoid refinancing too early.
6. Failing to shop around. Rates and terms vary by lender. Comparing at least three DSCR lenders—including local specialists like West Forest and national players like SelectHomeLoans.com—can save thousands over the loan term.

DSCR Loans vs Traditional Investment Property Financing

Traditional mortgages for investment properties rely on the borrower’s personal income, credit history and debt‑to‑income ratio. Banks typically require W‑2 forms, tax returns, pay stubs and proof of reserves. They also limit investors to four to ten financed properties. Rates may be lower, but the process is slow and documentation heavy. DSCR loans, by contrast, focus on the property’s cash flow and can finance unlimited properties. They close quickly, allow interest‑only periods, and do not require personal income verification. However, they carry slightly higher interest rates and may require larger down payments and reserves. For Bridgeport investors with multiple properties or non‑traditional income sources, DSCR loans provide flexibility that traditional financing cannot.

Who Should Use DSCR Loans

DSCR loans are best for:

• Seasoned investors expanding their portfolios beyond the limits of conventional lending.
• Self‑employed individuals and business owners whose tax returns may not reflect their true earning power.
• Investors purchasing or refinancing multiple small properties; portfolio DSCR loans can consolidate several mortgages into one.
• Buy‑and‑hold investors seeking long‑term fixed‑rate financing with optional interest‑only periods.

DSCR loans may not be ideal for owner‑occupants (they are not allowed), novice investors with little capital, or properties in rural areas with uncertain rental demand. Those with high personal income and few mortgages may still secure lower rates through traditional mortgages.

City‑Specific Investing Considerations for Bridgeport

Neighborhood variation: Bridgeport’s neighborhoods vary widely in rent and desirability. Black Rock and Downtown command rents above $2,000 for one‑bedroom units, while Boston Avenue–Mill Hill averages around $1,427. Investors should study local rent rolls and avoid overpaying in weaker neighborhoods.

Economic drivers: Bridgeport continues to diversify its economy. Manufacturing and trade remain mainstays, but growth in personal, business and health services and the presence of major transportation hubs support steady employment. The city is also redeveloping the waterfront and investing in sports arenas and mixed‑use projects. These initiatives can attract new residents and boost rental demand in certain pockets.

Tenant demographics: With 57% renter occupancy, Bridgeport’s population leans heavily toward renting. Consider demographics when choosing unit sizes; two‑ and three‑bedroom units command higher rents but may have fewer potential tenants than one‑bedroom apartments.

Regulations and taxes: Connecticut has relatively strict landlord‑tenant laws and high property taxes. Factor these into projections and consult a local attorney to ensure compliance. Some neighborhoods may also require certificates of occupancy or lead‑paint compliance before renting.

Transport and amenities: Properties near the Metro‑North train station, Interstate highways or the harbor often command premium rents due to commuter convenience. Consider proximity to universities (University of Bridgeport) and hospitals when evaluating DSCR potential.

Conclusion

Bridgeport is a vibrant, evolving city offering strong opportunities for rental property investors. Rising home prices, robust rent growth and a diverse economy create fertile ground for buy‑and‑hold strategies. DSCR loans allow investors to unlock this potential by leveraging property cash flow rather than personal income. After comparing numerous lenders—national firms like Express Capital and Jaken Finance Group, local specialists like West Forest Capital and Cardinal Capital Group, and brokers like CT Liberty Mortgage—it’s clear that SelectHomeLoans.com offers the best combination of competitive rates, high leverage, flexible terms and local expertise. Their ability to pre‑qualify quickly, fund in weeks and structure portfolio loans makes them the top choice for investors seeking to build wealth in Bridgeport’s dynamic rental market. Whether you’re acquiring your first duplex or refinancing a portfolio of four‑plexes, SelectHomeLoans.com stands ready to help you finance your next investment and achieve your cash‑flow goals.