In Washington, DC, the classic investor property is a rowhouse with a legal basement unit. It can cash flow well, but DC's licensing, tenant laws and short-term rental limits shape how you buy and finance it.
In short: LendingStreet is our top pick for Washington, DC. We qualify rentals on the property's rent with no W-2s or tax returns, LLC borrowers are standard, and there is no stated maximum, with jumbo DSCR options for high-value 1-8 unit rentals. Purchases go up to 80% LTV and cash-out up to 75% LTV, with max LTV that can be lower on larger balances and varies by program.
LendingStreet is built for investors who buy and hold rentals, and our DSCR loans fit DC well. We qualify the loan on the property's rent, with no W-2s or tax returns, and LLC borrowers are standard. Loans start at $150,000 with no stated maximum, purchases go up to 80% LTV, cash-out refinances go up to 75% LTV, and 30-year terms are available.
DC renters include federal workers, contractors, students and young professionals, and demand runs strong near Metro stations. LendingStreet's DSCR program fits the District because a two-unit rowhouse is qualified on the combined rent of both units, and because loan sizes here often run well above national averages.
It fits investors buying their first DC rental, landlords adding doors, and owners refinancing out of a short-term loan. The next step is simple: get a quote with the form below, or call (877) 298-1001.
Well-known DSCR lenders include CoreVest, Dominion Financial, LendingOne, Lima One, New Silver and RCN Capital. Compared scenario by scenario for investors in Washington, DC, LendingStreet comes out as the stronger choice, and one application covers it.
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. |
Petworth, Brookland, Bloomingdale, Eckington, Trinidad and the H Street NE corridor have rowhouses, many with English basement units that can be licensed as a second rental. Capitol Hill, Shaw and Columbia Heights are higher-priced, with condo conversions and two- to four-unit buildings.
East of the Anacostia River, Anacostia, Congress Heights, Deanwood and Hillcrest offer lower prices and a mix of rowhouses, semi-detached homes and small apartment buildings.
| Area | Typical rental | What to check |
|---|---|---|
| Petworth, Brookland, Bloomingdale | Rowhouse with basement unit | Certificate of occupancy for the second unit |
| Capitol Hill, Shaw | Higher-priced rowhouses and condos | Condo rules, larger balances |
| Columbia Heights, H Street NE | Two- to four-unit conversions | Permits and legal unit count |
| Anacostia, Congress Heights | Rowhouses and small buildings | Rent control status, condition |
DC investors usually weigh a local bank or credit union, a local hard money lender, and a dedicated investor lender like LendingStreet. Each has a place, but only one is built around the rental itself.
If you want a long-term loan sized on rent and closed in your LLC, LendingStreet is our top pick for DC.
| What investors need | LendingStreet | Typical local 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 a debt-to-income review | Based on the deal; built for short holds |
| Borrow in an LLC | Standard | Varies; some lend to individuals only | Common |
| Purchase leverage | Up to 80% LTV | Varies by bank | Varies; short-term only |
| Cash-out refinance | Up to 75% LTV | Varies; may require long seasoning | Not a long-term option |
| Loan term | 30-year terms available | Varies; shorter terms are common | Usually short-term only |
| Loan size | From $150,000, no stated maximum | Varies by bank | Varies |
| Where they lend | All 50 states and DC | Usually a local footprint | Usually local or regional |
DC charges both a deed transfer tax and a deed recordation tax on sales, at rates that step up for higher-priced residential properties. By custom the seller pays the transfer tax and the buyer pays the recordation tax, but confirm with your title company. Those costs are large enough to plan for in your cash to close.
DC residential property taxes are moderate compared with the surrounding suburbs, but the homestead deduction applies only to an owner's principal residence, so budget without it. DC also taxes vacant and blighted property at much higher rates, which matters if a renovation leaves a house empty for long.
Every DC rental needs a basic business license for rental housing, and a basement or second unit needs the right certificate of occupancy. The Tenant Opportunity to Purchase Act (TOPA) can give tenants rights when an occupied rental is sold, and older buildings may fall under rent control unless an exemption applies. Ask your attorney how these apply to your property before you sign.
DC allows short-term rentals only in a host's primary residence, so an investor-owned property cannot be operated as a nightly rental. LendingStreet DSCR loans in the District are qualified on long-term leases.
This example is illustrative and not a quote. An investor buys a Petworth rowhouse with a licensed English basement for $875,000. The main house leases for $3,900 and the basement for $1,850, so combined rent is $5,750. Taxes are budgeted at $620 a month without a homestead deduction, and insurance is $210.
At 75% LTV the loan is $656,250. Estimated principal and interest is about $4,366 on a 30-year term, so the total payment is about $5,196 and the DSCR is about 1.11x. Without the basement rent, the main house alone would cover well under 1.0x, which is why the second unit's certificate of occupancy matters so much.
| Item | Petworth rowhouse |
|---|---|
| Loan amount | $656,250 |
| Estimated principal and interest | $4,366 |
| Property taxes (monthly) | $620 |
| Insurance (monthly) | $210 |
| Total monthly payment | $5,196 |
| Monthly rent | $5,750 |
| DSCR | About 1.11x |
Purchase loans go up to 80% LTV. Rate-and-term refinances go up to 80% LTV on some programs and are often used to move out of a hard money, bridge or bank balloon loan once a DC rehab is leased. Cash-out refinances go up to 75% LTV, and seasoning varies by program.
DC investors often renovate a rowhouse, permit the basement unit, lease both and refinance into a DSCR loan, or use cash-out on a seasoned property to fund the next one. For high-value homes, ask about jumbo DSCR, where leverage varies by program.
Before you pick a lender, ask every one of them the same questions, in writing if you can:
How LendingStreet answers: up to 80% LTV on purchases, up to 80% on rate-and-term on some programs and up to 75% on cash-out; a 1.0x standard minimum DSCR with sub-1.0 programs; seasoning that varies by program and is explained up front; LLC borrowers as standard; and larger balances and 5-8 unit buildings reviewed with leverage that varies by program. Get a quote with the form below to see how your deal fits.
Our top pick is LendingStreet. We qualify DC rentals on the property's rent with no W-2s or tax returns, lend to LLCs as standard, and offer up to 80% LTV on purchases and up to 75% on cash-out with 30-year terms.
Yes. We qualify 2-4 unit properties on the combined rent of all units, as long as each unit is legal and properly permitted.
Generally no. DC limits short-term rentals to a host's primary residence, so investor loans are qualified on long-term leases.
Yes. LendingStreet makes DSCR loans on investment properties throughout Washington, DC, and in all 50 states. Get a quote with the form below or call (877) 298-1001.
It can when the property is tenant-occupied. Tenants may have rights to purchase or other rights during a sale, so review it with your attorney early.
Yes. Jumbo DSCR covers about $1.5M to $5M+ on high-value 1-8 unit rentals, with more review and leverage that varies by program.
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