Best DSCR Lenders for Real Estate Investors in Arkansas

GHC Funding
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Published: February 9, 2026
Categories: blog
Reading Time: 3 minutes read
Article Credits

Contributing Author & Editorial Review

This article was authored and professionally reviewed to provide accurate, actionable financial insights.

GHC Funding

GHC Funding

Contributing Author

Alyssa writes about real estate investing, debt-free strategies, and emerging trends in small business finance with a focus on practical insights.

Samantha Reyes

Samantha Reyes

Senior Content Editor

Samantha specializes in editorial strategy, compliance review, and refining complex finance topics into accessible, reader-friendly guidance.

Content is provided for educational purposes only and should not be considered legal, tax, or financial advice.

DSCR Loan

DSCR Rental Loan Highlights

  • Qualification based mainly on property cash flow (DSCR).
  • No personal income docs required for many programs.
  • Financing for 1–8 unit rentals, portfolios, and many STR/Airbnb deals.
  • Up to 80% LTV on purchases and 75% LTV on cash-out (program-dependent).
  • 30-year fixed and interest-only options available.
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Unlocking Real Estate Opportunities: Best DSCR Lenders for Investors in Arkansas

Meet John, a seasoned real estate investor based in Little Rock, Arkansas. With a keen eye for potential and a determination to grow his portfolio, John faced a familiar challenge: securing the right financing. Like many investors, he sought a loan that didn’t rely on his personal income but on the cash flow potential of his properties. This is where DSCR (Debt Service Coverage Ratio) loans became his lifeline.

In this article...

Understanding DSCR Loans for Real Estate Investors

For those new to the term, a DSCR loan is a type of financing that evaluates the cash flow generated by a property rather than the borrower’s personal income. This makes it a perfect fit for real estate investors like John who aim to leverage their property’s potential. Why are DSCR loans crucial in Arkansas? The state’s diverse real estate market, from bustling Little Rock to the charming streets of Fayetteville, offers ample opportunities that require flexible financing solutions.

  • Credit Score Requirements: Typically, lenders look for a minimum credit score of 620.
  • Approval Time: The process can take as little as two weeks, though this may vary based on documentation and lender efficiency.

Top DSCR Lenders in Arkansas

Choosing the right lender can make or break your investment journey. Here are some of the best DSCR lenders catering to Arkansas investors:

Need capital? GHC Funding offers flexible funding solutions to support your business growth or real estate projects. Discover fast, reliable financing options today!

⚡ Key Flexible Funding Options:

GHC Funding everages financing types that prioritize asset value and cash flow over lengthy financial history checks:

Top Pick

DSCR Rental Loan

Best for: Scaling rental portfolios
★★★★★ 4.8/5 (120 reviews)
Starting rate~7–9%+
Loan amounts$100K – $5M+
Term30 yr fixed / ARMs
Highlights
  • No tax returns required
  • Qualify using rental income (DSCR-based)
  • Fast closings ~3–4 weeks
Check DSCR Rates

SBA 7(a) Loan

Best for: Owner-occupied commercial real estate
★★★★★ 4.6/5 (89 reviews)
RatePrime + spread
Loan amounts$350K – $5M+
TermUp to 25 years
Highlights
  • Lower down payments vs banks
  • Long amortization improves cash flow
  • Good if your business occupies 51%+
Explore SBA Options

Bridge Loan

Best for: Fast closing + value-add deals
★★★★☆ 4.4/5 (72 reviews)
RateVaries by deal
Loan amounts$250K – $15M+
Term6–24 months
Highlights
  • Close quickly — move on opportunities
  • Flexible underwriting
  • Great for value-add or transitional assets
Talk to a Specialist
Low Rates

SBA 504 Loan

Best for: Large CRE acquisitions & refinancing
★★★★★ 4.7/5 (101 reviews)
RateFixed, low CDC rate
Loan amounts$500K – $12M+
Term10, 20, 25 years
Highlights
  • Low fixed rates through CDC portion
  • Great for construction, expansion, fixed assets
  • Often lower down payment than bank loans
Check 504 Eligibility

🌐 Learn More

For details on GHC Funding's specific products and to start an application, please visit our homepage:

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  • ABC Capital: Known for their quick turnaround and flexible terms.
  • Real Estate Funding Group: Offers personalized services with competitive rates.
  • Arkansas Financial Solutions: A local favorite with deep insights into regional market trends.

These lenders understand the unique challenges faced by Arkansas investors, such as fluctuating property values in Bentonville or zoning regulations in Hot Springs.

Common Mistakes to Avoid

Even seasoned investors can stumble. Here are some pitfalls to watch out for:

  • Overlooking Cash Flow Analysis: Ensure your property can generate enough income to cover loan payments.
  • Ignoring Local Market Trends: Stay informed about the economic and real estate conditions in cities like Conway and Jonesboro.
  • Insufficient Documentation: Ensure all necessary paperwork is complete and accurate to avoid delays.
  • Underestimating Costs: Factor in all expenses, including maintenance and property management.

Real Case Study: Success in Fayetteville

Consider Sarah and Mike, a couple investing in Fayetteville’s thriving rental market. They secured a DSCR loan with Arkansas Financial Solutions, leveraging a property generating $2,500 monthly against a $2,000 mortgage. Their success story underscores the power of strategic financing and understanding local dynamics.

Frequently Asked Questions

  • What is the minimum DSCR required by lenders? Most lenders require a DSCR of 1.25 or higher.
  • Can I use a DSCR loan for a mixed-use property? Yes, many lenders offer DSCR loans for mixed-use properties.
  • Do DSCR loans require personal income verification? No, the focus is on the property’s income potential.
  • Are there prepayment penalties? It depends on the lender. Always review the loan terms carefully.
  • How does a DSCR loan affect my credit score? Like any loan, timely payments can improve your credit score, while defaults can harm it.
  • Is a DSCR loan right for new investors? It can be, especially if your property has strong income potential.

Get a Free Rate Today

Compare our top-rated commercial and investment property loan programs below.

DSCR Loan
⭐ 4.8/5
  • No income verification
  • 30-year fixed | Interest-only available
  • Great for rental properties + STR
  • Fast approvals
Check My Rate
SBA 7(a) Loan
⭐ 4.9/5
  • Working capital + business acquisition
  • Up to $5M
  • Low down payment
  • Long-term financing
Check My Rate
SBA 504 Loan
⭐ 4.9/5
  • Owner-occupied CRE
  • Low fixed rates | 25-year terms
  • Great for business expansion
  • Refinance available
Check My Rate
Bank / CRE Loan
⭐ 4.7/5
  • Best for stabilized properties
  • Competitive rates
  • 12–25 year terms
  • Lower fees than private lenders
Check My Rate

Compare Loan Types

Find the Right Financing for Your Real Estate or Business Project

Loan Type Best For Rates Terms Highlights Apply
DSCR Loan Rental properties (LTR & STR) 5.99%+ 30-year fixed, IO options No income docs, fast approvals, great for investors Check My Rate
Construction Loan Ground-up, fix & build, major renovations 8%–12% depending on scope 12–24 months interest-only Flexible draws, great for builders & developers Get a Quote
SBA Loan Business acquisition, working capital, CRE Prime + spread 10–25 years Lowest down payments, long terms, best for business growth See My Options

Ready to explore your financing options? At GHC Funding, we specialize in helping Arkansas investors like you unlock the full potential of DSCR loans. Contact us today to learn more about how we can support your real estate journey.

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GHC Funding DSCR, SBA & Bridge Loans
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