DSCR loans in California. Built for speed.

California is a high-stakes DSCR state: non-judicial foreclosure runs 120 to 200-plus days, and AB 1482's statewide rent cap applies to most non-exempt units at roughly 5% plus CPI (10% annual max). SFRs held by individuals are exempt from AB 1482, but SFRs held in LLCs generally are not — which matters because most of our DSCR borrowers vest in LLCs. STR is heavily regulated at the city level in LA, SF, and San Diego; transient occupancy taxes are imposed locally rather than statewide.

California DSCR investor activity is concentrated in LA, Orange County, the Inland Empire, San Diego, and Sacramento. The Inland Empire is where the ratio math actually works — coastal California is mostly high-LTV, low-DSCR-ratio territory and relies on our no-ratio program. Sacramento has emerged as the Northern California value play for DSCR. SF proper is thin DSCR territory — prices don't clear the math for most investors.

When a California deal doesn't fit our standard guidelines, we run it through the Approval Engine — a wider underwriting framework that finds an angle. That's how we close 95% of the deals we touch.

LLC-held California rentals need rent-growth assumptions that reflect AB 1482's cap — we underwrite accordingly. For high-LTV coastal purchases that don't clear 1.0 DSCR, the no-ratio program accepts ratios under 1.0 with a 5% LTV reduction. Local STR and TOT rules matter more than any statewide generality — every California STR file should confirm the specific city rules at submission.