Michigan DSCR Loans: No Tax Returns, 1.2 DSCR Min, Rates from 6.25%
Rental property financing for Michigan investors qualified on property cash flow, not personal income, W-2s, or tax returns. Serving Detroit, Grand Rapids, Warren, Ann Arbor and the rest of Michigan. If the property cash-flows at 1.2× the mortgage, you may qualify.
- 1.2 DSCR minimum
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- 680+ FICO
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- Refi from 6.25%
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- 21–30 day close
Can I get a DSCR rental loan in Michigan?
Yes. DSCR loans in Michigan qualify investors based on property cash flow with a 1.2 DSCR minimum, 680+ FICO, and 20–25% down. No tax returns, W-2s, or DTI calculation required. 1–4 unit residential and 5+ unit multifamily eligible. Refi rates start at 6.25%.
Published by PeerSense Capital Advisory · Written by Ed Freeman, Founder. Updated July 1, 2026.
Michigan Rental Market Snapshot
State-level data DSCR underwriters use to size Michigan rental deals.
Michigan is a yield-extreme DSCR market. Detroit MSA produces 10–13% gross yields on stabilized SFR but the city's assessment/market spread and condition risk require institutional-quality underwriting. Grand Rapids and Ann Arbor anchor stable LTR demand (medical, automotive supplier, U of M). Warren and the outer Detroit suburbs offer middle-ground cap rates with deeper BRRRR inventory.
Major Michigan Markets We Serve
Active DSCR deal flow across Michigan's core rental markets. Same requirements (1.2 DSCR, 680+ FICO, 20–25% down) apply statewide.
| Metro | Median Price | Gross Yield | DSCR Investor Notes |
|---|---|---|---|
| Detroit | $165K | 10.0–13.0% | Highest gross yields in any major US metro, institutional-grade underwriting required |
| Grand Rapids | $305K | 6.5–8.0% | Furniture/medical employment, stable LTR demand, premium suburban pricing |
| Warren | $235K | 7.5–9.0% | Outer Detroit suburb, automotive supplier base, deep BRRRR inventory |
| Ann Arbor | $525K | 4.5–5.5% | U of M demand, premium LTR pricing, student-housing yield premium |
Michigan Eviction Timeline & Landlord Posture
How Michigan courts handle non-payment evictions, material to DSCR loss-severity assumptions.
Michigan requires a 7-day notice for non-payment. 36th District Court (Detroit) and circuit-level filings typically schedule hearings within 10–14 days. Among the faster eviction processes in the Midwest.
Michigan Rate Adjustment vs National Baseline
Sub-jumbo Detroit loan sizes track non-QM curves; rent-control preemption and fast eviction process reduce loss severity.
Final pricing depends on FICO, LTV, DSCR, property type, and program. Baseline national DSCR refi rates start at 6.25% as of July 1, 2026.
DSCR Lenders Active in Michigan
The non-bank DSCR programs we see most frequently funding Michigan rental deals. PeerSense matches your scenario across this lender set rather than locking you into one.
- Kiavi
- Visio Lending
- Lima One
- RCN Capital
- Easy Street Capital
PeerSense is independent, not a lender. Lenders listed are programs we have funded Michigan deals through; specific terms vary by file.
Michigan DSCR Loan Requirements
| Requirement | Minimum | Notes |
|---|---|---|
| DSCR | 1.20 | 1.00+ allowed with 740 FICO or 30% down |
| Credit Score | 680 FICO | 640–679 by exception, lower LTV |
| Down Payment | 20–25% | 25% if <1.2 DSCR or <700 FICO |
| Property Type | 1–4 units or multifamily | Condos, townhomes, STRs OK where legal |
| Income Docs | None | No tax returns, W-2s, DTI check |
| Reserves | 6 months PITIA | Checking, savings, stocks qualify |
| Close Time | 21–30 days | Cash-out refi: 14–21 days |
Not a commitment to lend. Rates and terms subject to underwriting. See our full DSCR loan guide for the complete program.
Get Michigan DSCR Loan Terms
DSCR Rental: Response within 24–48 hours. No obligation.
Related DSCR Resources
- DSCR Loans Hub: Programs & Rates
- DSCR Rental Loans: Full Program Guide
- DSCR for Airbnb / Short-Term Rentals
- DSCR Cash-Out Refinance
- DSCR Jumbo Loans ($1M+)
- DSCR for LLCs / Entity Title
- Best DSCR Lenders 2026
- DSCR Loans: Complete Guide
- DSCR Calculator: Test Your Property
- Fix & Flip Loans: Bridge to DSCR Exit
- Bridge Loans: Short-Term Rental Acquisition
- DSCR vs Conventional Mortgage