How DSCR Loans Work for Airbnb and VRBO Investors in 2026

Short-term rental investing on platforms like Airbnb and VRBO has become one of the most popular real estate investment strategies on the East Coast. Properties in beach markets, mountain communities, and urban vacation destinations can generate significantly more revenue than traditional annual rentals — and DSCR loans are the primary financing vehicle investors use to acquire them.

Using Projected STR Income to Qualify

For new STR acquisitions where there is no rental history, most DSCR lenders accept projected income from third-party market analysis platforms — primarily AirDNA, which provides data on actual revenue generated by comparable listings in the same market.

The projected income report substitutes for the signed lease or historical tax return income that traditional lending requires. As long as the projected income supports a DSCR ratio of 1.0 or above, the loan qualifies.

For Existing STRs: Documentation Options

If the property has operated as an STR, you can document income through platform revenue statements from Airbnb or VRBO, bank statements showing rental deposits, or Schedule E from personal tax returns showing rental income history. Lenders typically use the lower of projected or documented income to be conservative.

Key STR Markets on the East Coast

Outer Banks NC, Myrtle Beach SC, Delaware beaches, Jersey Shore NJ, Hilton Head SC, Florida Gulf Coast, Savannah GA, Catskills NY, Vermont ski markets, and coastal Maine and New Hampshire are all active DSCR STR markets where we regularly structure financing.

Condo STR Considerations

Many condos in resort markets have high investor concentration making them non-warrantable. Verify the HOA rental policy and building warrantability before going under contract on any condo intended for STR use.

At East Coast Mortgage, we structure DSCR STR financing across all of our East Coast licensed states. Submit your scenario and we will identify the program that fits your property and market.