Brick two-family and four-family flats are the backbone of St. Louis rental investing, and many have quietly gained value across South City. A DSCR cash-out turns that equity into the next purchase without a tax return review.
In short: Yes. LendingStreet finances DSCR cash-out refinances on 1-8 unit rentals across the St. Louis area, up to 75% LTV, qualifying on the property's rent with no W-2s or tax returns. Standard programs need the rent to cover the new payment at 1.0x. In St. Louis the local details are whether the property is in the independent City or St. Louis County, municipal occupancy inspection rules and Missouri's odd-year reassessments.
A DSCR cash-out refinance sizes a new loan off today's appraised value, up to 75% LTV, pays off what you owe and releases the rest. Nothing in the file depends on your personal income; the property's lease or market rent carries the loan.
Underwriting compares that rent with the full new payment, including taxes, insurance and any association dues. A ratio of 1.0x or higher fits standard programs, and the maximum LTV can be lower on 5-8 unit buildings and larger balances, so it varies by program. In St. Louis, multi-family flats often produce strong ratios, so the appraisal and municipal paperwork are usually what take the most time.
South City neighborhoods such as Tower Grove South, Bevo Mill, Dutchtown, Carondelet and Southampton are full of brick two-family and four-family flats. Soulard, Benton Park, Lafayette Square, Shaw and the Central West End have higher-priced rowhouses and condos. North City has lower prices and more variable condition.
St. Louis County is a patchwork of dozens of municipalities, including Maplewood, Webster Groves, Kirkwood, University City, Affton and Florissant, each with its own rules. St. Charles County to the west has newer suburbs, and Illinois' Metro East adds another option across the river.
Many South City flats have been renovated unit by unit over the years, so two buildings on the same block can appraise very differently. Bring a list of recent improvements and photos of updated units to help the appraiser support value.
| Area type | Examples | Typical rental | Cash-out watch item |
|---|---|---|---|
| South City | Tower Grove South, Bevo Mill, Dutchtown, Carondelet | Brick 2-family and 4-family flats | City occupancy and lead rules |
| Central corridor | Shaw, Soulard, Lafayette Square, Central West End | Rowhouses, condos | Historic district and HOA rules |
| County municipalities | Maplewood, Webster Groves, University City, Florissant | Single-family, duplexes | Municipal occupancy inspections |
The City of St. Louis is independent of St. Louis County, with its own assessor, collector and building division. The city requires occupancy permits and inspections in many situations when tenants change, and older housing must meet lead hazard rules.
In the county, many municipalities require an occupancy inspection or permit whenever a unit is rented or sold. The rules and fees vary from town to town. For a cash-out, keep those permits on file; an appraiser or underwriter may ask about unit count and condition.
This example is illustrative and not a quote. An investor owns a brick four-family flat in Tower Grove South appraised at $360,000, owing $140,000. Each unit rents for $850, for $3,400 total. City taxes are about $420 a month and insurance about $230.
At 75% LTV the new loan is $270,000. After paying off the $140,000 balance, about $130,000 is left before closing costs. Estimated principal and interest on a 30-year schedule is about $1,888, so with taxes of $420 and insurance of $230 the monthly payment is about $2,538 and DSCR is about 1.34x.
If the next odd-year reassessment raised taxes to $520 a month, the payment would be about $2,638 and DSCR about 1.29x, still comfortably above the minimum.
Four-family flats like this are why St. Louis cash-outs often clear 1.0x with room to spare. The bigger hurdles tend to be condition and paperwork.
| Item | 75% LTV | 75% LTV, odd-year reassessment |
|---|---|---|
| Appraised value | $360,000 | $360,000 |
| Loan amount | $270,000 | $270,000 |
| Existing payoff | $140,000 | $140,000 |
| Cash before closing costs | $130,000 | $130,000 |
| Estimated principal and interest | $1,888 | $1,888 |
| Taxes and insurance | $650 | $750 |
| Total monthly payment | $2,538 | $2,638 |
| DSCR at $3,400 rent | About 1.34x | About 1.29x |
Missouri assesses residential property at a 19% assessment ratio of market value and reassesses in odd-numbered years. Values in rising South City neighborhoods have climbed in recent cycles, and a jump can show up on the following year's bill.
The city also levies an earnings tax on residents and workers, but that does not affect your rental's ratio. Missouri has no mortgage or transfer tax, so closing costs on a refinance are mostly title, recording and lender fees.
St. Louis brick is durable, but many flats are over a century old. Insurers ask about roofs, mortar and masonry repair, electrical panels and boilers, and some buildings have lead paint that must be managed. The New Madrid seismic zone makes earthquake coverage worth pricing, especially on unreinforced masonry.
Properties near the Mississippi, Missouri and Meramec rivers and River des Peres can sit in flood zones. Get the flood determination and insurance quote before ordering an appraisal.
Having these ready shortens the appraisal and underwriting timeline.
LendingStreet finances business-purpose DSCR loans on non-owner-occupied rentals, and we lend on 1-8 unit properties throughout the City of St. Louis and St. Louis, St. Charles and Jefferson counties, plus the Metro East in Illinois. Many owners use the proceeds as the down payment on their next rental, to fund renovations or to build reserves.
Use the form below or call (877) 298-1001 with the property address, rents, payoff and what you plan to do with the cash. We size the loan at more than one LTV so you can see where the ratio lands before an appraisal is ordered.
Yes. They are separate jurisdictions with different assessors, tax rates and inspection rules. County municipalities also have their own occupancy requirements.
Yes. Four-family buildings qualify on the combined rent of all units and are among the most common St. Louis refinances.
In odd-numbered years. A reassessment can raise next year's bill, so budget for it.
Yes. Illinois properties across the river qualify too, though Illinois taxes are typically higher.
Waiting periods vary by program. If you bought recently, expect the loan to be sized either on the new appraisal under a short-seasoning program or on your purchase price plus documented improvements.
No. The loan qualifies on the property's rent. You still need a 620 or higher credit score, reserves and entity documents if title is held in an LLC.
No. Most of our St. Louis DSCR borrowers hold title in an LLC, which is standard on these programs.
2-3 competing quotes from 30+ capital sources. No credit pull. No commitment.
By clicking, you provide express written consent to be contacted by LendingStreet (NMLS #1734316) via SMS, phone, or email, possibly using automated technology, regarding your loan inquiry. Reply STOP to opt out. Consent is not required to obtain services. See our Privacy Policy and Terms.