Recently Funded DSCR Loan In Madison, Tennessee

Loan Scenario:

This DSCR rental loan supports a duplex purchase in Madison, Tennessee. Specifically, the detached two-unit property has a $365,000 purchase price. American Heritage Lending provided a $292,000 loan, resulting in an 80% Loan-to-Value (LTV) ratio. Notably, the deal posts a DSCR of 1.133, which clears the program threshold. Additionally, the loan features a 40-year fixed-rate term with an interest-only structure.

The borrower is an experienced real estate investor. Therefore, the focus rests on long-term cash flow rather than a short-term resale. Because DSCR loans look at property income rather than personal income, the program fits this borrower well. Furthermore, the fixed-rate structure brings stable monthly costs across the hold period.

Madison sits along Nashville’s northern corridor and continues to draw investor interest. Specifically, buyers seeking value near the metro core often turn here. Moreover, multi-unit homes in the corridor support steady rental demand from long-term tenants. Consequently, Madison offers a stable backdrop for income-producing assets.

Overall, this deal shows how American Heritage Lending supports experienced investors with flexible DSCR financing. Specifically, the 40-year interest-only term lowers monthly debt service during the hold period. As a result, the borrower can preserve cash flow while building a long-term rental position. Furthermore, this program looks at the property’s income rather than personal documents.