Nashville's growth left many investors with rentals worth far more than they paid. The catch is that short-term rental rules, a mortgage recording tax and the city's reappraisal cycle all shape how much of that equity a DSCR loan can release.
In short: For a DSCR cash-out refinance in Nashville, our top pick is LendingStreet. We size the loan on the property's rent with no W-2s or tax returns, allow cash-out up to 75% of appraised value, close in LLCs as standard and offer 30-year terms. Loans start at $150,000 with no stated maximum. We also underwrite long-term leases realistically, which matters in a city where many former investor STRs have moved to 12-month tenants.
Nashville investors come to us with tall-and-skinny homes, horizontal property regime duplexes, older ranches and new townhomes across Davidson, Rutherford, Williamson and Sumner counties. Many own several properties in LLCs and want long-term money they can hold for years.
Here is what you get: a long-term DSCR loan, with 30-year terms available, that can take out up to 75% of the appraised value, starting at $150,000 with no stated maximum. We size it on the property's rent with no W-2s or tax returns, lend to LLCs as a matter of course, require a 620 minimum credit score and use a 1.0x standard DSCR minimum, with sub-1.0 programs for some files.
Ready to run it? Get a quote with the form below or call (877) 298-1001, and a LendingStreet loan officer will size the cash-out on your actual rent and payoff.
Investors searching for DSCR cash-out refinance lenders often compare national names like CoreVest, Dominion Financial, LendingOne, Lima One, New Silver and RCN Capital. Here is how LendingStreet stacks up on the scenarios that matter most for investors in Nashville, TN. In every scenario below, LendingStreet is the best fit.
Figures for other lenders are as stated on each lender's own website as of November 2026. Lender terms change, so verify current terms with any lender before you apply. Ready to see your numbers? Use the form below or call (877) 298-1001.
| Scenario | Best fit | Why |
|---|---|---|
| Rental loan above $2M | LendingStreet | Our DSCR loans have no stated maximum. LendingOne states DSCR loans up to $2,000,000 and RCN Capital states long-term rental loans up to $1.5M. |
| Credit score in the 620s | LendingStreet | Our DSCR minimum is 620. RCN Capital and New Silver state 660 minimums, and Dominion Financial states 680, with exceptions to 660. |
| 5-8 unit building | LendingStreet | We treat 1-8 units as residential DSCR. Lima One and CoreVest state 1-4 unit eligibility for their rental loans. |
| Property in any state, including DC | LendingStreet | We lend in all 50 states and DC. Lima One states it lends across 46 states, and Dominion Financial lists 49 states plus DC. |
Infill building turned many single lots in East Nashville, The Nations, Sylvan Park, Germantown and 12 South into two new homes, often under a horizontal property regime with a small shared-maintenance agreement. Older brick homes in Inglewood, Madison, Donelson and Antioch round out the long-term rental stock.
Around the county, investors hold rentals in Murfreesboro, Smyrna, La Vergne, Gallatin, Hendersonville and Clarksville, where prices are lower and rent covers more of the new payment.
Common uses for the cash include paying off the short-term loan used to build an infill pair of homes, buying in Rutherford or Sumner County, and converting a former STR into a long-term rental with updated finishes. A long-term DSCR loan also replaces a bank note that is coming due, so the investor is not facing a balloon in a few years.
There are a few types of lenders an investor can use to take cash out of a rental. Terms vary from lender to lender, so treat the other columns as typical, not universal.
For an investor who plans to keep the property and wants the rent, not a tax return, to do the qualifying, LendingStreet lines up well on every row.
| Question | LendingStreet | Typical credit union | Typical national online DSCR lender |
|---|---|---|---|
| Do I need tax returns? | No; the rent qualifies | Usually yes | Usually no |
| How much cash can I take? | Up to 75% LTV | Varies, often lower on rentals | Varies by lender |
| Can my LLC borrow? | Yes, standard | Sometimes | Usually |
| What DSCR is required? | 1.0x standard; sub-1.0 on some programs | Uses DTI instead | Varies by lender |
| Is there a loan cap? | No stated maximum; from $150,000 | Often set by the member's limits | Varies |
| Can the same lender fund my next flip? | Yes, fix and flip and bridge too | Rarely | Varies |
Tennessee has no tax on wage income, and Davidson County property taxes are moderate. The county reappraises property on a regular cycle, and a new appraisal can raise the bill, so budget on the current assessment and check for a pending reappraisal.
Tennessee charges a recording tax on new mortgages, and it can apply to a refinance. Ask your title company for the exact figure, since it adds to closing costs and reduces the cash you net.
Nashville has largely stopped issuing new non-owner-occupied short-term rental permits in residential zones, with those permits limited mainly to certain commercial and mixed-use districts. Many investor homes that once ran as STRs now rent long term. If you want STR income in the state, look at Tennessee mountain and lake markets where investor STRs are allowed, and confirm county rules.
This example is illustrative and not a quote. An investor owns a newer home in The Nations appraised at $620,000, with a payoff of $280,000, rented on a 12-month lease for $3,700 a month. Taxes are budgeted at $285 a month, insurance at $150 and the shared regime fee at $45.
At 75% LTV the loan is $465,000. Estimated principal and interest is $3,172, the full payment is $3,652, and DSCR is about 1.01x, just over the 1.0x standard. The investor takes about $185,000 out before closing costs and the mortgage recording tax.
| Item | 75% LTV |
|---|---|
| Appraised value | $620,000 |
| Loan amount | $465,000 |
| Existing payoff | $280,000 |
| Cash out before closing costs | $185,000 |
| Estimated principal and interest | $3,172 |
| Taxes, insurance and HOA | $480 |
| Total monthly payment | $3,652 |
| Monthly rent | $3,700 |
| DSCR | About 1.01x |
Think of it as two tests. The value test allows a loan of up to 75% of the appraised value. The rent test asks whether the lease covers the full new payment, taxes and insurance included, at 1.0x on our standard programs, with sub-1.0 programs available on some files. You get the smaller of the two answers, minus your payoff and closing costs.
Seasoning requirements vary by program, which matters most for investors who bought or rehabbed in the last year. For big balances and for 5-8 unit buildings, the maximum LTV can be lower and varies by program.
Use this list on every lender you call. The answers tell you quickly whether a program fits your property, and ours are listed next to each question.
Send these with your request, or call (877) 298-1001 to talk it through first.
We recommend LendingStreet. The loan is sized on rent, not personal income, cash-out reaches 75% of appraised value, LLCs can borrow, and sub-1.0 DSCR programs help when a file lands just under 1.0x.
Yes, in Nashville and across Tennessee, as well as all 50 states and DC. Our loans are business-purpose loans on non-owner-occupied rentals.
Only if it holds a valid permit that allows non-owner-occupied operation. Many investor homes in residential zones do not, so we would underwrite on a long-term lease.
It can. Your title company will calculate it, and it is part of closing costs that reduce the cash you receive.
Yes. Send the regime documents so we can review shared costs and maintenance terms.
Up to 75% of appraised value, as long as the rent covers the new payment at the program's DSCR minimum.
Not the loan you already closed, but a higher tax bill raises your monthly costs. Budget for it when you plan the cash-out.
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