1031 + DSCR questions
Clear answers about the financing side of the exchange.
Understand the lender’s role, the property review and the information that helps turn a replacement target into a financeable scenario.

Frequently asked questions
Know where the financing desk fits—and where your exchange professionals take over.
Can DSCR financing be used for a 1031 replacement property?
A DSCR loan may be considered for an eligible non-owner-occupied investment-property acquisition. The lender confirms financing eligibility; the qualified intermediary and tax advisors confirm the exchange structure and tax treatment.
Can one relinquished property be exchanged into multiple rentals?
An investor may identify more than one replacement property under applicable rules. The number of targets, identification method, financing and timing should be reviewed with the appropriate professionals.
Can exchange equity be combined with a new loan?
A replacement acquisition may use exchange funds together with new financing, subject to the exchange structure and complete loan approval. The QI and tax advisors should explain how the equity and debt considerations apply to the specific transaction.
Does the lender control the exchange funds?
No. The qualified intermediary and closing professionals coordinate the exchange funds under the selected structure. The lender provides approved loan proceeds at the replacement closing.
Does the site provide tax advice?
No. The site provides financing education and lending services only. Investors should use independent tax, legal and qualified-intermediary professionals.
What does DSCR mean?
Debt service coverage ratio generally compares qualifying property rent with the qualifying housing payment or debt service under the applicable program methodology.
Is a hard credit pull required to submit the financing plan?
No hard credit pull is performed merely by submitting the website form. A credit authorization may be required later if the borrower chooses to proceed.
What property details should I provide?
The address, purchase price, rent, taxes, insurance, HOA, unit count, contract timing, requested loan amount and expected exchange equity are useful starting points.
Build the financing plan around the real transaction.
Share the exchange stage, proposed replacement-property direction and current assumptions with the 1031 Exchange DSCR Loan Desk.
