Indiana caps property taxes on rental homes at 2% of assessed value, which gives Evansville investors a predictable tax line. With modest home prices, a jumbo loan here almost always means a portfolio refinance.
In short: LendingStreet offers jumbo DSCR loans of about $1.5M to $5M+ in the Evansville area, qualified on rent with no W-2s or tax returns. In this metro, those balances usually come from portfolios of single-family homes and doubles, a group of small buildings, or a high-end home in Newburgh. Indiana's 2% circuit breaker cap on rental property and Ohio River flood exposure are the local items to check.
Rentals are spread across the east side, the north side and older neighborhoods near downtown and the University of Evansville. Many investors hold single-family homes and doubles bought at modest prices.
Newburgh, in Warrick County, has larger homes and riverfront property. Henderson, across the Ohio River in Kentucky, is part of the metro but follows Kentucky law.
Toyota's plant in Princeton, Deaconess and Ascension St. Vincent hospitals and the University of Southern Indiana are major employers that support steady rental demand.
| Route | Areas | Check |
|---|---|---|
| Portfolio of homes and doubles | East side, north side, near downtown | Combined rent, each parcel's tax |
| Group of small buildings | Near UE and USI, Haynie's Corner area | Unit count, systems |
| Larger home | Newburgh, east side estates | Few comparable leases, river flood zone |
LendingStreet's jumbo DSCR program covers loans of roughly $1.5M to $5M+ for investors buying or refinancing 1 to 8 unit rental property, including cash-out.
Your income is not the test; the property's is. Divide the monthly rent by the full payment, including taxes, insurance and HOA dues, and most programs look for at least 1.0x. Credit starts at 620, title can sit in an LLC and 30-year terms are available. Maximum LTV is 80% on purchases and 75% on cash-out, and a large balance usually means a lower ceiling than that, which varies by program.
Indiana's property tax caps, known as circuit breakers, limit taxes to 1% of gross assessed value for a homestead, 2% for other residential property including rentals, and 3% for most other property. Rentals sit in the 2% tier, so the tax on a Vanderburgh County rental cannot exceed 2% of its assessed value, though actual bills can be lower.
Indiana trends assessments annually and runs a multi-year reassessment cycle. Owners of rentals do not get the homestead deduction, so the seller's bill may be lower than yours. Indiana has no real estate transfer tax; buyers and sellers file a sales disclosure form.
This example is illustrative and not a quote. Here is how the portfolio refinance works at two loan sizes. An investor owns 18 single-family homes and doubles in Evansville, worth $2,000,000 together. It rents for $21,600 a month. Taxes are budgeted at $2,900 a month, insurance at $1,600.
At 75% LTV the loan is $1,500,000 and estimated principal and interest is about $10,360, for a total payment of about $14,860 and a DSCR of about 1.45x. At 65% LTV the loan is $1,300,000, estimated principal and interest is about $8,979, the payment is about $13,479 and DSCR is about 1.60x.
The 2% cap keeps the tax line predictable. A blanket loan pulls all 18 into one closing and one payment, qualified on combined cash flow.
| Item | 75% LTV | 65% LTV |
|---|---|---|
| Loan amount | $1,500,000 | $1,300,000 |
| Estimated principal and interest | $10,360 | $8,979 |
| Property taxes | $2,900 | $2,900 |
| Insurance | $1,600 | $1,600 |
| Total monthly payment | $14,860 | $13,479 |
| Monthly rent | $21,600 | $21,600 |
| DSCR | About 1.45x | About 1.60x |
Evansville sits on the Ohio River and relies on levees and floodwalls. Low-lying areas and properties near Pigeon Creek can be in flood zones, and some homes have past flood claims. Severe storms and occasional tornadoes also occur. The New Madrid seismic zone is not far away, and standard policies exclude earthquake damage.
Indiana's landlord-tenant laws are generally landlord-friendly, and state law limits local rental registration and inspection programs. Check whether Evansville or Vanderburgh County has any current requirements.
Most jumbo files here run on 12-month leases. Student rentals near UE and USI follow the academic year, and some investors lease to traveling nurses and plant contractors on shorter terms; underwriting looks to market rent rather than a single short contract.
On a portfolio that includes Henderson homes, remember Kentucky has its own landlord-tenant rules and property tax system, so treat those properties as a separate set of numbers inside the same loan.
Single rentals at $1.5M+ are rare in Evansville. Jumbo here usually means a portfolio of 15 or more homes.
Large balances get more scrutiny. Reserve requirements are often higher, the appraisal review is more detailed and some programs ask for a second appraisal. Comparable sales and comparable leases can be thin at the top of a market, so be ready to support both value and rent.
If the ratio comes up short, the usual fixes are a larger down payment, a different loan amount or a sub-1.0 DSCR program where one fits.
On a cash-out refinance, maximum LTV is up to 75% and often lower on a big balance, and how long you must own the property first varies by program. Rate-and-term refinances can go up to 80% LTV on some programs.
Having these ready shortens the back-and-forth.
Our investor loans are business-purpose loans on non-owner-occupied property. See our Indiana jumbo DSCR page for statewide context.
Tell us the property, the rent and the loan amount you have in mind. We will check the DSCR at more than one loan size using local tax and insurance figures, then lay out the options. Use the form below to get a quote, or call (877) 298-1001.
Indiana limits property taxes on residential rentals to 2% of gross assessed value. Bills can be lower, but not higher, than that cap.
As big as its rent supports. Jumbo DSCR loans run about $1.5M to $5M+, with no stated maximum, but the property still has to cover the full payment, usually at 1.0x or better.
On some programs, properties in more than one state can be combined under one blanket loan.
No. Jumbo DSCR loans qualify on the property's rent compared with its payment. You still need a 620 minimum credit score, reserves and documentation of your down payment.
Yes. Required flood insurance is part of the payment used in the ratio.
Yes. Most of our jumbo DSCR borrowers close in an LLC. Bring the articles, operating agreement and EIN letter, and expect to sign for the loan personally.
No. Our investor loans are business-purpose loans on non-owner-occupied property, and that applies to every unit.
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