Nashville grew fast, and so did its rental stock: new two-unit builds, townhomes and suburban subdivisions all around the county. Investors here also deal with two Tennessee closing taxes and Metro rules that keep most non-owner-occupied short-term rentals out of residential zones.
In short: Our top pick for Nashville is LendingStreet. We qualify on the property's rent with no W-2s or tax returns, so entrepreneurs and music-industry earners can qualify, and LLC borrowers are standard. Purchases go up to 80% LTV and cash-out up to 75%, loans start at $150,000 with no stated maximum, and 30-year terms are available on 1-8 unit rentals across Middle Tennessee. Get a quote with the form below or call (877) 298-1001.
LendingStreet finances business-purpose DSCR loans on non-owner-occupied rentals across Davidson, Rutherford, Williamson, Sumner and Wilson counties. We lend on single-family homes, the two-unit properties common in Nashville infill, townhomes and buildings of up to 8 units, with a 620 minimum credit score and a standard 1.0x minimum DSCR.
We suit the investor who has income from bookings, royalties or a business, the buyer moving a former short-term rental to long-term leases, and the owner refinancing a rental bought earlier in the boom. Send the address, value and rent, and we will run the numbers with you.
If you are weighing CoreVest, Dominion Financial, LendingOne, Lima One, New Silver and RCN Capital for a DSCR loan for investors in Nashville, TN, this is the short version: LendingStreet wins the scenarios below, and you can get a quote with the form below.
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. |
Nashville buyers usually compare a few lender types. Here is a fair, general look at each for a long-term rental loan.
| What matters on a rental loan | LendingStreet | Typical local bank | Typical private or hard money lender |
|---|---|---|---|
| Income documents | None; the rent qualifies the loan | Tax returns and debt-to-income review are common | Light, but the loan is short |
| Entity borrowing | LLC borrowers are standard | Varies | Common |
| Hold period | Built for long-term rentals, 30-year terms available | Varies | Usually months, not years |
| Max LTV on a purchase | Up to 80% | Varies | Varies |
| Max LTV on cash-out | Up to 75% | Varies | Varies |
| Credit minimum | 620 | Often higher for investors | Varies |
East Nashville, Inglewood and Madison have older homes and plenty of newer infill, while The Nations, Sylvan Park, Germantown, Wedgewood-Houston and 12 South carry higher prices. Antioch, Donelson, Hermitage and Bordeaux offer lower entry prices and steady demand from workers across the county.
Beyond Davidson County, investors buy in Murfreesboro, Smyrna and La Vergne to the southeast, Hendersonville and Gallatin to the northeast, Mt. Juliet to the east, Spring Hill to the south, and Clarksville near Fort Campbell.
Much Nashville infill is built as two homes on one lot under a horizontal property regime, so each unit may be its own parcel. Know whether you are financing one unit or both before you apply.
Tennessee charges a transfer tax of $0.37 per $100 of price and a mortgage recording tax of $0.115 per $100 of the loan amount above $2,000. The buyer usually pays both, so include them in your cash to close. Tennessee has no state tax on wage income.
Residential property is assessed at 25% of appraised value, the state's assessment ratio, times the local rate. Davidson County's recent reappraisal changed values and rates, so use the current assessor figures. Insurance is generally moderate, but tornadoes and Cumberland River flooding are real risks; check flood maps and wind coverage.
Metro Nashville generally does not allow new non-owner-occupied short-term rental permits in residential zoning districts. They are allowed in many mixed-use and commercial districts, such as parts of downtown, The Gulch and Midtown, with a Metro permit. Check zoning and permit rules for any address before relying on nightly income.
Tennessee state law prevents local rent control, and most Nashville DSCR loans are underwritten on 12-month leases. Investors who want nightly income often look to permitted mixed-use zones or other Tennessee markets that allow it, and should confirm county and city rules there too. For a long-term lease, a signed 12-month lease or a market rent estimate from the appraisal is what the ratio uses, so price your rent realistically against the newer supply in your submarket.
This example is illustrative and not a quote. An investor buys an Antioch duplex for $420,000. Each side leases for $1,600, for $3,200 a month. Taxes are $285 a month and insurance is $160.
At 80% LTV the loan is $336,000. Estimated principal and interest is about $2,235, and the total payment is about $2,680, for DSCR of about 1.19x. At closing the investor also budgets about $1,554 in transfer tax and about $384 in mortgage recording tax.
| Item | 80% LTV purchase |
|---|---|
| Loan amount | $336,000 |
| Estimated principal and interest | $2,235 |
| Property taxes | $285 |
| Insurance | $160 |
| Total monthly payment | $2,680 |
| DSCR at $3,200 rent | About 1.19x |
Nashville's growth left many investors with equity in homes bought earlier in the decade. A cash-out refinance up to 75% LTV can fund another rental, and a rate-and-term refinance up to 80% on some programs can replace a shorter loan with a 30-year term in an LLC.
New-build investors often buy from builders in Rutherford, Wilson and Sumner counties. Budget taxes on your purchase price, since a brand-new home may not have a full tax bill yet, and confirm that the HOA allows leasing before you sign.
Before you commit to any lender, get clear, written answers to these questions.
LendingStreet's answers: purchase up to 80% LTV, cash-out up to 75%, 1.0x standard DSCR with sub-1.0 programs available, seasoning that varies by program, LLC borrowing as the norm, an upfront document list, and no stated maximum loan size (larger balances can carry lower max LTV).
Send the address, price or value, leases or rent estimate, the assessor record and an insurance quote. We will run the ratio and show your options. Get a quote with the form below or call (877) 298-1001.
Own five or more Nashville rentals? A blanket portfolio loan can combine them under one closing.
LendingStreet is our top pick. We qualify on rent with no W-2s or tax returns, lend to LLCs, go up to 80% LTV on purchases and 75% on cash-out, and offer 30-year terms.
Yes. We lend across Middle Tennessee, statewide, and in all 50 states and DC.
Yes, if it is its own legal parcel. The rent for that unit qualifies the loan.
A transfer tax on the price and a mortgage recording tax on the loan amount above $2,000, both usually paid by the buyer.
Usually not in residential zones. Non-owner-occupied permits are generally limited to mixed-use and commercial districts.
Yes. We underwrite on a 12-month lease or market rent.
Yes, up to 75% LTV, with seasoning that varies by program.
No. Our loans are business-purpose loans on non-owner-occupied investment property.
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