Recently Funded DSCR Loan In Millington, Tennessee

Loan Scenario:

American Heritage Lending closed a $142,500 DSCR cash-out refinance on a single-family rental in Millington, Tennessee for an experienced investor who owns three investment properties. The home appraised at $190,000, setting the loan at 75% loan-to-value on a 30-Year term with a comfortable 1.373 debt-service coverage ratio. The borrower had purchased the property for cash and, once past the seasoning period, refinanced to recover that capital while keeping the asset in the portfolio.

DSCR underwriting let this deal stand on the rental’s income rather than the borrower’s personal earnings, and coverage well above breakeven gave plenty of room to pull cash out while the property continues to service its own note. The cash-out approach here is textbook portfolio strategy: buy with cash to win the deal, then refinance to free that money for the next acquisition without ever selling.

Millington sits just north of Memphis and is defined by Naval Support Activity Mid-South, the Navy’s personnel command headquarters and a steady source of military and civilian renters. Its small-town Shelby County setting offers affordability that Memphis proper and much of the region can’t match, while easy access to the metro’s massive logistics economy, anchored by FedEx and a dense distribution network, keeps demand for rentals dependable. That mix of a stable federal payroll and low entry prices makes it a reliable buy-and-hold market.

Cash recaptured, coverage intact, and capital ready for the next purchase.

Similar Recently Funded Case Studies: DSCR Loan in Memphis, TN  •  DSCR Loan in Nashville, TN  •  DSCR Loan in Inverness, FL

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