Short-Term Rental (STR)
Qualify on nightly income, not long-term market rent.
DSCR financing that uses actual short-term rental revenue from platform statements or an operator history, which usually produces a far stronger ratio than a long-term lease estimate.
What makes this loan different
- Airbnb and VRBO revenue used for qualification
- 12-month operator statements or platform data accepted
- Purchase, refinance, and cash-out available
- LLC title permitted
Who this is built for
- Vacation rental investors
- Owners converting a long-term rental to nightly
- Buyers in tourism markets
The income question
Most lenders default to the appraiser's long-term market rent, which can understate a well-run short-term rental by half. A lender that accepts platform revenue or a professional projection changes the entire approval.
For a property with history, 12 months of platform statements are usually sufficient. For a new purchase, a market data projection from a recognized service is accepted by a growing number of lenders.
Regulatory reality
Local short-term rental rules are part of the underwriting conversation now. Confirm licensing and any cap on permits in the jurisdiction before you write an offer, because a lender will check.
What lenders typically ask for
- Documented short-term rental history where it exists — platform statements or property management reports
- Market short-term rental data where the property has no history
- Confirmation that local ordinances permit short-term rental at the address
- Any required local permit or registration
- Standard borrower and property documentation for the chosen program
Requirements vary by lender and by file. This is a general picture of what is commonly requested, not a checklist for a specific loan.
Worth knowing
Local regulation is the largest risk.
Cities and counties restrict, cap, or prohibit short-term rentals, and rules change. A property that pencils today can be prohibited from operating after an ordinance passes, and that risk sits with the owner rather than the lender.
Lenders count the income conservatively.
Some use a trailing twelve-month average, some apply a discount, and many will only count long-term market rent regardless of actual short-term performance. Underwriting to the conservative number is the safer plan.
Seasonality is not smoothed away.
A property earning most of its revenue in four months still carries twelve months of payments. Reserve planning matters more here than on a long-term rental.
Furnishing and operating costs are real.
Turnover, cleaning, platform fees, and furnishing are not part of the loan and are commonly underestimated when a deal is evaluated on gross revenue.
See what this program would take in your case.
We are brokers — this program is shopped across hundreds of wholesale lenders, not quoted off one rate sheet. A short application gives us enough to compare real options.
Program availability, terms, guidelines, and documentation requirements vary by lender and are subject to underwriting and change without notice. This is not a commitment to lend.