Philadelphia is a rowhome city, and that shapes every rental loan here: older brick buildings, small duplex and triplex conversions, a realty transfer tax that is among the higher ones in the country, and a city license process every landlord has to clear before collecting rent.
In short: Our top pick for Philadelphia investors is LendingStreet. We qualify DSCR loans on the property's rent, with no W-2s or tax returns, and LLC borrowers are standard. Purchases go up to 80% LTV and cash-out refinances up to 75%, loans start at $150,000 with no stated maximum, and 30-year terms are available on rowhomes, twins and 2-8 unit buildings across the city. Get a quote with the form below or call (877) 298-1001.
LendingStreet is built for investors who buy and hold rentals, not for homeowners. In Philadelphia that means business-purpose DSCR loans on non-owner-occupied rowhomes, twins, converted duplexes and triplexes, and small apartment buildings of up to 8 units. The rent qualifies the loan, the minimum credit score is 620, and the standard minimum DSCR is 1.0x, with sub-1.0 programs for files that come in a little short.
This fits the Philadelphia investor who has a growing portfolio and taxable income that looks thin on paper, the out-of-state buyer adding a Fishtown or West Philadelphia rental, and the owner who rehabbed a rowhome and now wants a long-term loan. Tell us the address, price or value, and rent, and we will run the numbers with you.
Investors searching for DSCR 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 Philadelphia, PA. 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. |
Philadelphia investors usually weigh a few lender types. Here is how they compare on the items that matter most for a long-term rental loan.
| What investors need | LendingStreet | Typical bank or credit union | Typical hard money lender |
|---|---|---|---|
| How you qualify | On the property's rent; no W-2s or tax returns | Often requires tax returns and personal income | Usually based on the property and the exit |
| Borrow in an LLC | Standard | Varies; often prefers personal names | Common |
| Loan term | 30-year terms available | Varies; often shorter terms | Usually short-term only |
| Purchase leverage | Up to 80% LTV | Varies | Varies; built for short holds |
| Cash-out refinance | Up to 75% LTV | Varies; may limit investors | Rarely a long-term option |
| Loan size | From $150,000, no stated maximum | Varies by bank | Varies |
Much of the rental demand sits along the transit lines and near the universities. University City and the blocks west of it draw students and hospital staff, while Fishtown, Kensington, Port Richmond and Northern Liberties have seen steady rehab activity. Brewerytown, Strawberry Mansion and the streets around Temple are other active rehab areas.
South Philadelphia, Grays Ferry and Passyunk-area blocks offer classic two- and three-story rowhomes, while Germantown, Mount Airy and Roxborough have larger twins and older multi-unit houses. In the Northeast, Frankford, Mayfair and nearby neighborhoods offer more brick rowhomes at lower price levels.
Across all of them, the housing stock is old. Many homes predate 1940, so roofs, party walls, sewer laterals and electrical systems deserve close inspection before you lock in a purchase price.
Philadelphia charges a city realty transfer tax on top of the 1% Pennsylvania state tax, for a combined rate of about 4.3% of the price. Buyer and seller customarily split it, but contracts vary, so confirm who pays what with your title company before you budget cash to close.
The annual real estate tax is a percentage of the city's assessed value, and reassessments in recent years have raised bills in many neighborhoods. Budget on the current assessment, not the seller's old bill, and check whether any tax abatement on a renovated or new home is expiring soon. Insurance on older rowhomes can run higher when wiring, roofs or plumbing are dated, and some low-lying areas near the rivers carry flood zone requirements.
Every Philadelphia rental needs a city rental license, and landlords need a Commercial Activity License and a tax account in good standing. Properties built before 1978 generally need lead-safe or lead-free certification before a lease is signed. Lenders and tenants alike will expect these to be in order, so build the timeline into your plan.
Short-term rentals are much more limited. A unit that is not the host's primary residence is treated as visitor accommodation, which city guidance allows only in certain commercial and mixed-use zoning districts, with a zoning permit and license required. Most Philadelphia DSCR loans are underwritten on 12-month leases for that reason. Check the zoning for any specific address with the city before relying on nightly income.
This example is illustrative and not a quote. An investor buys a converted Fishtown rowhome duplex for $425,000. Each unit leases for $1,550, for $3,100 a month in total. Real estate taxes are budgeted at $467 a month on the current assessment, and insurance is $150 a month.
At 75% LTV the loan is $318,750. Estimated principal and interest is about $2,121, and the full monthly payment with taxes and insurance is about $2,738. That puts DSCR near 1.13x, comfortably above the 1.0x standard minimum. The investor also budgets their share of the transfer tax, the rental license and lead certification before closing.
| Item | 75% LTV purchase |
|---|---|
| Loan amount | $318,750 |
| Estimated principal and interest | $2,121 |
| Property taxes | $467 |
| Insurance | $150 |
| Total monthly payment | $2,738 |
| DSCR at $3,100 rent | About 1.13x |
Many Philadelphia investors buy a rowhome with short-term rehab money, finish the work, get the rental license and lease the units, then refinance into a 30-year DSCR loan. Rate-and-term refinances go up to 80% LTV on some programs and cash-out up to 75%, and seasoning varies by program.
Long-time owners in neighborhoods that have appreciated, such as Fishtown or Graduate Hospital, often use a cash-out refinance to fund the next purchase. Small apartment buildings of 5 to 8 units qualify too, though max LTV can be lower on those, so it varies by program.
Ask every lender on your list the same six questions, then compare the answers side by side.
Here is how LendingStreet answers: up to 80% LTV on purchases and up to 75% on cash-out, a 1.0x standard minimum with sub-1.0 programs, cash-out seasoning that varies by program, LLC borrowers as standard, a clear document list at the start, and loans from $150,000 with no stated maximum, where max LTV can be lower on larger balances.
Send the address, price or current value, the leases or expected rent, and your target loan amount. We will check the ratio on a realistic tax figure and come back with clear options. Get a quote with the form below or call (877) 298-1001.
Own five or more Philadelphia rentals? A blanket portfolio loan can combine them under one loan with one payment.
Our top pick is LendingStreet. We qualify on the property's rent with no W-2s or tax returns, lend to LLCs as standard, go up to 80% LTV on purchases and 75% on cash-out, and offer 30-year terms on 1-8 unit rentals.
Yes. We finance investment rentals in every Philadelphia neighborhood, across Pennsylvania, and in all 50 states and DC.
Buyer and seller customarily split the combined city and state realty transfer tax, but the contract controls. Confirm the split with your title company.
The city requires a rental license to rent the property legally. Plan to obtain it, along with lead certification for pre-1978 homes, before you lease units.
Yes, as long as the unit count is legal and the rent supports the payment. Residential DSCR loans cover 1 to 8 units.
Only where the zoning allows visitor accommodation and the city license is in place. Most residential blocks do not allow non-owner-occupied short-term rentals, so most loans here use long-term leases.
Sub-1.0 programs exist. We can also test a lower loan amount to see where the ratio clears 1.0x.
No. Our loans are business-purpose loans on non-owner-occupied investment property.
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