A DSCR loan qualifies on the rent, so where you buy decides how easy it is to qualify. Markets where rent is high relative to home prices clear a 1.00 ratio at typical prices. Markets where homes are expensive relative to rent need a lower price, a stronger rent or a larger down payment. The tables below rank each market by gross rent yield, annual rent divided by home value, using U.S. Census figures.
States
| Market | Median rent | Median value | Tax rate | Gross yield |
|---|---|---|---|---|
| Mississippi | $954 | $169,800 | 0.72% | 6.7% |
| West Virginia | $872 | $162,600 | 0.53% | 6.4% |
| Oklahoma | $1,014 | $199,800 | 0.8% | 6.1% |
| Arkansas | $947 | $188,000 | 0.55% | 6.0% |
| Kansas | $1,060 | $217,200 | 1.29% | 5.9% |
| Louisiana | $1,064 | $216,500 | 0.55% | 5.9% |
| Texas | $1,403 | $283,800 | 1.49% | 5.9% |
| Alabama | $1,007 | $209,900 | 0.38% | 5.8% |
| Illinois | $1,274 | $263,300 | 2.01% | 5.8% |
| Indiana | $1,062 | $218,200 | 0.74% | 5.8% |
| Michigan | $1,129 | $231,600 | 1.25% | 5.8% |
| Ohio | $1,034 | $214,800 | 1.31% | 5.8% |
| Florida | $1,669 | $359,000 | 0.76% | 5.6% |
| Iowa | $972 | $208,000 | 1.39% | 5.6% |
| Kentucky | $967 | $205,600 | 0.75% | 5.6% |
| Georgia | $1,393 | $303,300 | 0.77% | 5.5% |
| South Carolina | $1,180 | $259,000 | 0.48% | 5.5% |
| Missouri | $1,033 | $230,300 | 0.85% | 5.4% |
| Nebraska | $1,072 | $238,600 | 1.49% | 5.4% |
| New Mexico | $1,067 | $248,100 | 0.7% | 5.2% |
| North Carolina | $1,228 | $288,900 | 0.66% | 5.1% |
| Tennessee | $1,189 | $286,700 | 0.5% | 5.0% |
| Connecticut | $1,488 | $366,900 | 1.81% | 4.9% |
| Maryland | $1,705 | $419,900 | 0.97% | 4.9% |
| Virginia | $1,579 | $383,700 | 0.73% | 4.9% |
| Wisconsin | $1,087 | $266,500 | 1.42% | 4.9% |
| Alaska | $1,419 | $352,900 | 1.11% | 4.8% |
| Delaware | $1,401 | $352,000 | 0.5% | 4.8% |
| Arizona | $1,543 | $394,500 | 0.48% | 4.7% |
| Vermont | $1,234 | $316,600 | 1.59% | 4.7% |
| Maine | $1,139 | $296,600 | 1.02% | 4.6% |
| New Hampshire | $1,491 | $402,500 | 1.66% | 4.4% |
| Rhode Island | $1,342 | $404,200 | 1.21% | 4.0% |
| Colorado | $1,761 | $539,400 | 0.48% | 3.9% |
| Massachusetts | $1,762 | $562,100 | 1.07% | 3.8% |
| Oregon | $1,525 | $477,600 | 0.81% | 3.8% |
| Wyoming | $992 | $309,700 | 0.57% | 3.8% |
| Washington | $1,760 | $564,600 | 0.81% | 3.7% |
| Idaho | $1,238 | $418,600 | 0.49% | 3.5% |
| Montana | $1,081 | $375,800 | 0.72% | 3.5% |
| California | $2,036 | $734,700 | 0.7% | 3.3% |
| District of Columbia | $1,954 | $737,100 | 0.58% | 3.2% |
| Hawaii | $1,971 | $839,100 | 0.27% | 2.8% |
Cities
| Market | Median rent | Median value | Tax rate | Gross yield |
|---|---|---|---|---|
| Detroit, MI | $1,074 | $83,900 | 1.67% | 15.4% |
| Jackson, MS | $1,055 | $111,700 | 1.21% | 11.3% |
| Cleveland, OH | $945 | $102,000 | 1.72% | 11.1% |
| Dayton, OH | $918 | $100,600 | 1.66% | 11.0% |
| Toledo, OH | $901 | $114,500 | 1.61% | 9.4% |
| Akron, OH | $955 | $122,000 | 1.6% | 9.4% |
| Memphis, TN | $1,181 | $169,000 | 1.09% | 8.4% |
| Birmingham, AL | $1,107 | $158,800 | 0.63% | 8.4% |
| Montgomery, AL | $1,089 | $161,900 | 0.4% | 8.1% |
| Augusta, GA | $1,142 | $178,400 | 0.85% | 7.7% |
| El Paso, TX | $1,073 | $184,500 | 2.04% | 7.0% |
| Baltimore, MD | $1,331 | $229,600 | 1.46% | 7.0% |
| Milwaukee, WI | $1,059 | $184,000 | 1.99% | 6.9% |
| San Antonio, TX | $1,324 | $235,700 | 1.75% | 6.7% |
| Savannah, GA | $1,382 | $248,900 | 0.82% | 6.7% |
| Mobile, AL | $1,068 | $193,300 | 0.5% | 6.6% |
| Springfield, MO | $964 | $177,700 | 0.75% | 6.5% |
| Fort Wayne, IN | $999 | $188,900 | 0.84% | 6.3% |
| Indianapolis, IN | $1,156 | $224,800 | 0.91% | 6.2% |
| Grand Rapids, MI | $1,266 | $244,500 | 1.02% | 6.2% |
| Columbus, OH | $1,295 | $252,900 | 1.32% | 6.1% |
| Kansas City, MO | $1,238 | $242,900 | 1.1% | 6.1% |
| St. Louis, MO | $997 | $197,500 | 1.03% | 6.1% |
| Tulsa, OK | $1,052 | $205,300 | 0.98% | 6.1% |
| Wichita, KS | $975 | $190,800 | 1.17% | 6.1% |
| Jacksonville, FL | $1,465 | $293,700 | 0.74% | 6.0% |
| Fort Worth, TX | $1,509 | $303,000 | 1.71% | 6.0% |
| Knoxville, TN | $1,191 | $239,700 | 0.64% | 6.0% |
| Houston, TX | $1,361 | $277,800 | 1.51% | 5.9% |
| Oklahoma City, OK | $1,130 | $231,300 | 1.0% | 5.9% |
| Omaha, NE | $1,187 | $245,500 | 1.68% | 5.8% |
| Greensboro, NC | $1,172 | $244,800 | 0.93% | 5.7% |
| Louisville, KY | $1,120 | $233,900 | 0.85% | 5.7% |
| Little Rock, AR | $1,106 | $236,400 | 0.8% | 5.6% |
| Columbia, SC | $1,204 | $264,300 | 0.64% | 5.5% |
| Dallas, TX | $1,472 | $320,700 | 1.58% | 5.5% |
| Baton Rouge, LA | $1,067 | $234,700 | 0.62% | 5.5% |
| St. Petersburg, FL | $1,663 | $371,100 | 0.66% | 5.4% |
| Orlando, FL | $1,747 | $394,100 | 0.82% | 5.3% |
| Chattanooga, TN | $1,256 | $283,200 | 0.8% | 5.3% |
| Cincinnati, OH | $1,001 | $230,900 | 1.37% | 5.2% |
| Tucson, AZ | $1,145 | $266,200 | 0.67% | 5.2% |
| Chicago, IL | $1,440 | $334,100 | 1.48% | 5.2% |
| Charlotte, NC | $1,612 | $385,700 | 0.73% | 5.0% |
| Tampa, FL | $1,701 | $420,400 | 0.78% | 4.9% |
| Huntsville, AL | $1,171 | $293,600 | 0.46% | 4.8% |
| Lexington, KY | $1,164 | $293,500 | 0.87% | 4.8% |
| Mesa, AZ | $1,620 | $408,000 | 0.39% | 4.8% |
| New Orleans, LA | $1,251 | $315,700 | 0.83% | 4.8% |
| Atlanta, GA | $1,711 | $439,600 | 0.96% | 4.7% |
| Richmond, VA | $1,372 | $353,000 | 0.89% | 4.7% |
| Nashville, TN | $1,586 | $413,600 | 0.6% | 4.6% |
| Durham, NC | $1,508 | $392,800 | 0.83% | 4.6% |
| Raleigh, NC | $1,572 | $415,800 | 0.73% | 4.5% |
| Phoenix, AZ | $1,582 | $420,700 | 0.44% | 4.5% |
| Colorado Springs, CO | $1,648 | $452,600 | 0.39% | 4.4% |
| Miami, FL | $1,758 | $518,100 | 0.89% | 4.1% |
| Charleston, SC | $1,722 | $509,700 | 0.43% | 4.1% |
| Austin, TX | $1,729 | $555,300 | 1.44% | 3.7% |
| Denver, CO | $1,831 | $616,000 | 0.45% | 3.6% |
| Greenville, SC | $1,312 | $487,500 | 0.54% | 3.2% |
The national median is $1,413 rent on a $332,700 home, a 5.1% gross yield. Every market page walks through a DSCR loan at that market's median numbers. To test a specific property, use the DSCR calculator.
Where we lend
We make DSCR loans on long term rentals in 42 states plus Washington DC, everywhere except Minnesota, Nevada, New Jersey, New York, North Dakota, Pennsylvania, South Dakota and Utah. Every state we serve has a page above.
- Up to 80% of the property's value
- Qualifies on the rent, with no tax returns, W-2s or pay stubs
- 620 minimum credit score
- Single family and 2 to 4 unit rentals on long term leases
- Closes in an LLC
- 30 year fixed options and step down prepayment choices
- Closings in about 21 to 30 days once conditions are met
Source: U.S. Census Bureau, American Community Survey 2024 5 year estimates. Tax rate is the owner occupied median tax divided by median value; rentals often pay more.