Shreveport, located in northwestern Louisiana on the Texas border, has transitioned from an oil‑dominated economy to a diversified hub for healthcare, manufacturing, military, casinos and film production. With a cost of living roughly 7 % below the national average, the city offers affordable real estate and attractive yields for rental property investors. Debt‑service coverage ratio (DSCR) loans are an increasingly popular tool for financing Shreveport rentals because they rely on the property’s income rather than the investor’s personal finances. In this article we analyze Shreveport’s housing and rental markets, explain DSCR loan mechanics, assess top DSCR lenders (with SelectHomeLoans.com again taking the top spot), review rates and qualification criteria, explore common pitfalls, compare DSCR loans with traditional financing and discuss who benefits most from DSCR loans in Shreveport.
Overview of the Shreveport Real Estate Investment Market
Home Sales and Market Metrics
The 2025 Stacker report shows Shreveport’s median sale price at $236,775. The city saw roughly 342 homes sold per month, including 45 new construction sales, with 1,522 homes in inventory. The market had a 4.5‑month supply indicative of a balanced environment and homes spent an average of 64.8 days on the market. These metrics suggest steady demand without excessive competition, giving investors time to negotiate and inspect properties thoroughly.
Rental Market and Demographics
Shreveport’s average rent was $1,041 as of early 2026. Studios rented for $893, one‑bedroom units $879, two‑bedrooms $1,089 and three‑bedrooms $1,385. Roughly 46 % of households are renter‑occupied, reflecting a robust tenant base. Renters find good deals in neighborhoods like Airport‑Pines Road ($817) and Hyde Park Brookwood–Southern Hills ($954), while higher rent areas include upscale subdivisions near oil service firms and casinos. Compared with New Orleans and Baton Rouge, Shreveport offers more affordable housing and stable long‑term tenants.
Economic Drivers and Major Employers
Shreveport promotes itself as a regional hub within a day’s drive of 40 million consumers. The economy is diversified across healthcare, manufacturing, technology and film. Its transportation infrastructure includes the Port of Caddo‑Bossier, Shreveport Regional Airport and the intersection of I‑20 and I‑49, making the area attractive for logistics firms. Top employers include Barksdale Air Force Base (14,500 employees), Caddo Parish Public Schools (9,416), Willis‑Knighton Health System (6,732), LSU Health Shreveport, the City of Shreveport, multiple casinos such as Sam’s Town and Horseshoe, and manufacturers like Benteler Steel/Tube. The city also offers film tax incentives that have attracted movie productions. This mix of industries and robust public sector employment creates consistent rental demand across income levels.
How DSCR Loans Work
DSCR loans base eligibility on a property’s income relative to its debt. The ratio is calculated by dividing Net Operating Income by the monthly mortgage payment (PITI). A DSCR of 1.0 means rent equals PITI; a ratio above 1 indicates positive cash flow. Most lenders prefer DSCR ≥1.0; some accept as low as 0.75 (with rate or LTV adjustments). Unlike conventional mortgages, DSCR loans do not require personal tax returns. Borrowers can hold multiple financed properties and still qualify. Loan terms usually include 30‑year fixed or adjustable rates with options for interest‑only periods. Because DSCR loans are business‑purpose, the property must be non‑owner‑occupied and used as a rental.
Evaluating DSCR Lenders: What Matters
When choosing a DSCR lender for Shreveport, focus on:
- Flexibility on DSCR and LTV – In a market where rents may be modest, lenders that accept DSCR down to 0.75 or provide case‑by‑case exceptions are valuable. Compare maximum LTV (usually 80 % on purchases and 75 % on cash‑outs).
- Interest Rates and Points – Rates start around 5.75 % for well‑qualified borrowers and may exceed 7 % for lower DSCR or credit scores. Evaluate origination points and fees.
- Credit Score Requirements – Most lenders require 620–640. Lower scores often mean lower leverage and higher reserve requirements.
- Property Types – Ensure the lender supports multifamily (up to four units), short‑term rentals near casinos and Air Force bases, or mixed‑use properties.
- Closing Timelines – Choose lenders capable of closing within 3–4 weeks to remain competitive.
- Local Market Knowledge – In Shreveport, neighborhoods vary significantly. Lenders familiar with local rent trends and property values can provide more accurate appraisals and underwriting.
Top DSCR Lenders in Shreveport
1. SelectHomeLoans.com – Best Overall
SelectHomeLoans.com again leads our list. They finance Shreveport rental properties up to 80 % LTV (purchases) and 75 % LTV (cash‑outs), with loan amounts ranging from $100,000 to $5 million. Borrowers need a DSCR of at least 0.75, but DSCR ≥1.0 yields the best pricing. SelectHomeLoans.com accepts FICO scores down to 620 and provides fixed or adjustable terms up to 30 years. What sets them apart in Shreveport is their hands‑on service: loan officers understand the local rental market around Barksdale Air Force Base, LSUS campus and the growing film industry. They also assist investors in evaluating flood‑zone requirements and property taxes. With quick pre‑approvals and closing in 3–4 weeks, SelectHomeLoans.com offers the most balanced combination of flexibility, speed and local expertise. Visit their website SelectHomeLoans.com Or Call them (888) 550-3296
2. Easy Street Capital
Easy Street Capital finances DSCR loans statewide and has funded deals in Shreveport. Their program features rates from 5.75 %, up to 80 % LTV for purchases/refinances, 75 % for cash‑outs, and no minimum DSCR. They underwrite based on the property’s rental income without requiring tax returns. Recent Louisiana transactions include a $360,000 cash‑out refinance in Shreveport at 7.5 % rate and 65 % LTV. This demonstrates that Easy Street is willing to fund modestly sized rentals at reasonable leverage. Investors with DSCR below 1.0 or properties requiring improvement can still obtain financing, albeit at higher rates.
3. LYNK Capital
LYNK Capital offers DSCR loans across Louisiana and appreciates Shreveport’s affordability and job diversity. Their program allows up to 80 % LTV, with 30‑year terms and rates starting around 6 %. The lender does not calculate personal DTI and qualifies based solely on the property’s DSCR. LYNK is a good fit for investors purchasing small multifamily properties or single‑family rentals near the casinos or industrial parks. Borrowers with FICO scores below 640 may need lower LTV. The lender’s transparent approach and ability to finance properties across Louisiana make it a solid choice.
4. Newfi Lending
Newfi’s DSCR program suits investors who need flexible qualifying criteria. The minimum credit score is 640, with DSCR as low as 0.8 and down payments starting at 20 %. Newfi offers 15‑, 30‑ and 40‑year fixed or interest‑only options and funds properties up to four units. In Shreveport, where single‑family homes and duplexes are prevalent, Newfi’s flexibility can help investors purchase multiple properties. The lender also supports cash‑out refinances up to 75 % LTV, making it useful for renovating older properties or consolidating debt.
5. Tidal Loans
Tidal Loans targets investors seeking to maximise leverage on lower‑cash‑flow properties. They will consider DSCR ratios below 1.0, including 0.75 or lower, adjusting rates and LTV to balance risk. Tidal requires a minimum credit score of 620 and offers 30‑year fixed or interest‑only options. Their program includes single‑family, duplex, triplex and fourplex rentals, as well as mixed‑use buildings. In Shreveport, where certain neighborhoods near industrial corridors may produce moderate cash flow but promise future appreciation, Tidal can provide financing when other lenders decline. Be prepared for higher rates and reserve requirements.
6. HomeAbroad (Foreign Investor)
For international buyers, HomeAbroad offers DSCR loans with minimum down payments of 25 %, loan amounts from $100,000 to $10 million, up to 75 % LTV on purchases and 70 % on cash‑outs, and closing times around 27 days. The best pricing applies to DSCR ≥1.0, but a no‑ratio option exists for DSCR between 0 and 1. No U.S. credit is required, making it ideal for overseas investors attracted to Shreveport’s low prices and film incentives. HomeAbroad also accepts non‑W‑2 borrowers and provides multi‑currency funding options.
7. CoreVest
CoreVest provides DSCR loans for investors seeking to finance multiple properties simultaneously. They lend on 1–4 unit properties, condos and townhomes, with loan amounts starting at $75,000 and up to 80 % LTV. Borrowers need a DSCR of at least 1.0 and typically a FICO score above 660. While rates may not be as low as those offered by Newfi or Easy Street, CoreVest’s portfolio lending solutions allow investors to consolidate loans and simplify management. This can be helpful for landlords expanding across Shreveport’s neighborhoods.
8. NOLA Lending and Local Lenders
Although based in New Orleans, NOLA Lending offers DSCR loans throughout Louisiana. They qualify applicants solely on rental income and require no personal income verification. Local credit unions and community banks in Shreveport sometimes provide commercial real estate loans for small residential properties. These lenders may require a higher DSCR (1.25) and recourse guarantees, but they offer personalized service and knowledge of local regulations. Investors with strong community ties may prefer a local bank relationship.
DSCR Rates, Terms and Qualifying Guidelines
Interest rates for DSCR loans in Shreveport typically range from 5.75 % to 7.5 %. Well-qualified borrowers with DSCR ≥1.25 and FICO ≥680 may secure rates in the low‑6 % range, while those with DSCR below 1.0 or credit scores closer to 620 will see rates near 7–8 %. Most lenders cap LTV at 80 % for purchases and 70–75 % for cash‑out refinances, with down payments of 20–25 %. Reserves of six to twelve months of PITI are commonly required for lower DSCRs.
Borrowers should expect to supply lease agreements or rent schedules. Appraisers will determine market rent if the property is vacant. While DSCR lenders do not use personal DTI, they will review credit reports and bank statements to confirm that the borrower has adequate assets and no recent credit delinquencies. The property must be held in an LLC or eligible single‑purpose entity in some cases. Closing times range from three to four weeks, though they can be extended if flood insurance or repairs are needed.
Common Mistakes and How to Avoid Them
- Relying on Unstable Income Sources – Investors sometimes attempt to qualify with speculative short‑term rental income. Lenders typically use market rent for long‑term tenants and may discount Airbnb revenue. Ensure your DSCR calculation is conservative.
- Overlooking Neighborhood Differences – Shreveport’s rent and vacancy rates vary widely. Properties near casinos may have high turnover, while homes near Barksdale AFB provide stable tenants. Choose properties whose cash flow can sustain the mortgage.
- Inadequate Reserves – Because DSCR loans are more expensive, lenders expect borrowers to hold reserves for vacancies or maintenance. Plan for six to twelve months of PITI.
- Ignoring Property Condition – Lenders require appraisal inspections. Properties needing major repairs may not qualify for the maximum LTV or may require a rehab budget. Conduct property inspections and budget for repairs.
- Not Comparing Lenders – Each DSCR lender has different DSCR thresholds, credit score minimums and pricing. Use a mortgage broker or obtain multiple quotes to find the best fit.
DSCR Loans vs Conventional Financing
Conventional mortgages remain cheaper but require full documentation, W‑2 income, low DTI and often a 20 % down payment. Investors are limited to a set number of financed properties and may face long underwriting timelines. DSCR loans sacrifice a slightly higher interest rate (often by 0.5–1 %) in exchange for fewer documentation requirements, unlimited financed properties and faster closings. They are especially valuable for self‑employed investors or those with multiple mortgages who would otherwise be declined by traditional lenders.
Who DSCR Loans Suit in Shreveport
- Self‑Employed and Non‑W‑2 Investors – Those relying on rental income rather than salary.
- Investors Building Portfolios – DSCR loans allow unlimited properties, enabling rapid expansion.
- Foreign Nationals – Programs like HomeAbroad’s suit overseas investors without U.S. credit.
- Investors Seeking Value‑Add Opportunities – Lenders like Tidal Loans accept lower DSCR for properties needing improvements.
DSCR loans are less ideal for buyers seeking rock‑bottom rates or financing owner‑occupied homes.
Shreveport‑Specific Investing Considerations
- Military Presence – Barksdale Air Force Base supports more than 14,500 jobs. Properties near the base enjoy stable demand and longer leases. However, base‑related short‑term rentals may require additional permits.
- Casino and Entertainment Industry – Shreveport and Bossier City host multiple casinos that employ thousands of workers and attract tourists. Properties near these sites may command higher rents but also face occupancy volatility during economic downturns.
- Film Incentives – Louisiana’s film tax credits have drawn productions to the region. Servicing film crews through short‑term rentals can be lucrative but unpredictable; investors should verify local regulations and DSCR lenders’ policies on vacation rentals.
- Flood and Weather Risk – Heavy rains and proximity to the Red River mean flood insurance is essential. Investors should factor insurance into DSCR calculations.
- Appreciation Potential – Shreveport’s affordability and diversified economy present long‑term appreciation opportunities. Neighborhoods undergoing redevelopment, such as downtown loft conversions or commercial‑to‑residential projects, offer upside.
Conclusion
Shreveport offers investors a unique blend of affordability, economic diversity and strategic location. By leveraging DSCR loans, investors can access capital based on the property’s income instead of personal finances, making it possible to build or expand portfolios quickly. Among the available lenders, SelectHomeLoans.com delivers the best combination of competitive rates, flexible DSCR thresholds and local expertise. Whether you are targeting steady cash flow near Barksdale Air Force Base, exploring student rentals near LSU Shreveport or seeking value‑add opportunities in emerging neighborhoods, DSCR financing through SelectHomeLoans.com can help you unlock Shreveport’s potential.
