Easy Street Capital DSCR Loans: Honest Review

Easy Street Capital is an Austin-based private lender that's carved out a niche by financing deals other lenders won't touch. Their low DSCR programs (down to 0.75) and flexible guidelines make them a go-to for investors in challenging markets. Here's what you need to know.

Easy Street DSCR Overview

Key Terms

The Easy Street Difference

Easy Street positions itself as the lender for deals that don't fit neatly into other lenders' boxes:

• Sub-1.0 DSCR allowed (with trade-offs)
• Lower credit score threshold (640 vs. 660–680 typical)
• Mixed-use properties accepted
• More flexible on property condition
• Accommodating to newer investors

Strengths

1. Low DSCR Tolerance

This is Easy Street's biggest selling point. While most lenders require DSCR ≥ 1.00, Easy Street goes to 0.75:

This opens up markets like:

• High property tax states (Texas, Illinois, New Jersey) where taxes crush DSCR
• Appreciation markets (Austin, Denver, Nashville) where rent-to-price ratios are tight
• Value-add deals with below-market rents that will improve over time

2. Low Credit Score Threshold

640 minimum is among the lowest in DSCR lending. This helps:

• Investors recovering from credit events
• Self-employed borrowers with thin credit files
• Younger investors building credit history

3. Mixed-Use Friendly

Easy Street finances mixed-use properties that many DSCR lenders decline. If you're buying a building with retail on the ground floor and apartments above, Easy Street is worth calling.

4. Responsive Service

Being smaller than mega-lenders like Lima One or Kiavi, Easy Street typically offers:

• Direct access to decision-makers
• Faster underwriting turnarounds on edge cases
• More willingness to work through complex deals
• Relationship-based lending vs. pure algorithm

5. Texas Market Expertise

Headquartered in Austin, Easy Street understands Texas real estate deeply:

• High property tax impact on DSCR (2.0–2.5% tax rates)
• Texas-specific insurance requirements
• Houston/Dallas/San Antonio/Austin market dynamics
• TX legal environment for investor properties

Weaknesses

1. Higher Rates

Easy Street's flexibility comes at a cost. Their rates (7.50–10.00%) are 25–75 bps higher than the most competitive DSCR lenders, especially at lower DSCR ratios.

For a $200,000 loan at 8.5% vs. 7.75%:

• 8.5% monthly payment: $1,538
• 7.75% monthly payment: $1,432
• Annual difference: $1,272

2. Smaller Operation

Being a smaller lender means:

• Fewer loan officers (potentially slower during busy periods)
• Less robust technology platform than larger competitors
• Geographic limitations in some states
• Capacity constraints during market surges

3. Prepayment Variability

Prepayment terms aren't as standardized as larger lenders. This means:

• Terms may vary deal-to-deal
• Important to negotiate prepayment upfront
• May not offer the most flexible prepayment options

4. Less Name Recognition

For borrowers who value brand recognition (particularly for portfolio lending or institutional partnerships), Easy Street is less well-known than Lima One, Kiavi, or Visio.

Who Easy Street Is Best For

Great fit:

• Investors in high-tax markets (Texas, Illinois, NJ) where DSCR falls below 1.0
• Value-add investors buying below-market-rent properties to renovate
• Borrowers with lower credit scores (640–680)
• Mixed-use property buyers
• Investors who want personalized service over tech-driven lending
• Texas-based investors who benefit from local market expertise

Not ideal for:

• Rate-sensitive borrowers who want the absolute lowest cost
• High-volume investors who need streamlined technology
• Borrowers with excellent credit and strong DSCR who qualify for better rates elsewhere

Deal Example: Sub-1.0 DSCR in Texas

Why Texas DSCR is Hard

Texas property taxes kill DSCR. Here's a typical scenario:

$250,000 SFR in San Antonio:

• Monthly rent: $1,800
• Principal + Interest (7.75%, 75% LTV): $1,347
• Property taxes ($6,250/year): $521
• Insurance: $175
• Monthly PITIA: $2,043
• DSCR: $1,800 ÷ $2,043 = 0.88

Most lenders decline this deal. Easy Street finances it at 70% LTV with a rate adjustment — and the investor bets on San Antonio appreciation + rent growth to improve DSCR over time.

Frequently Asked Questions

Is Easy Street Capital legitimate?

Yes. Easy Street Capital is a licensed, regulated private lender based in Austin, Texas. They've been operating since 2016 and have funded hundreds of millions in investor loans.

Can I really get a DSCR loan under 1.0?

Yes, through Easy Street and a few other lenders. You'll need more down payment (30%+ typically) and pay a higher rate (100–150 bps premium), but it's possible. This is useful for value-add deals or appreciation markets.

Does Easy Street do cash-out refinance?

Yes. Cash-out refinance is available for existing investment properties with sufficient equity and DSCR.

What states does Easy Street lend in?

Easy Street operates in most US states but not all 50. Contact them directly for state-specific availability. They're strongest in Texas and Southern markets.

How does Easy Street compare to using a broker?

A broker can shop your deal across 10–20 DSCR lenders and may find a better rate. But if your deal is complex (low DSCR, mixed-use, lower credit), Easy Street's direct underwriting flexibility may beat what a broker can find. For straightforward deals, a broker is often better on rate.

The Bottom Line

Easy Street Capital fills an important gap in the DSCR market: they finance deals that other lenders won't. If your DSCR is below 1.0, your credit score is under 680, or your property is mixed-use, Easy Street should be on your call list.

The trade-off is clear: higher rates for more flexibility. If you have strong credit, strong DSCR, and a straightforward property, you'll find cheaper money elsewhere. But for the deals that don't fit in the standard box, Easy Street lives up to its name.

Compare DSCR lender options with HonestCasa.