A $1.5 million rental is rare in Lancaster County. When a jumbo DSCR loan comes up here, it is almost always a newer small apartment building, a rare high-end home, or an investor consolidating value into one larger property.
In short: LendingStreet offers jumbo DSCR loans of about $1.5M to $5M+ on high-value 1-8 unit rentals in Lancaster County, for purchase, rate-and-term and cash-out. The loan qualifies on the property's rent with no W-2s or tax returns, LLC borrowers are standard and the minimum credit score is 620. Larger balances get more review, and max LTV can be lower and varies by program.
Most Lancaster County rentals, including many good multi-unit buildings, finance well below jumbo levels. The properties that reach $1.5M or more tend to be newer seven- and eight-unit buildings in the townships around the city, a handful of large luxury homes in places like Manheim Township, Lititz or along the Susquehanna, and occasionally a high-end restored building downtown.
If your rentals are spread across several moderately priced properties, a blanket portfolio loan or separate DSCR loans will usually fit better than a single jumbo loan.
That honesty matters because a jumbo file is reviewed differently. If a loan does not need jumbo treatment, structuring it as one can mean more documentation and lower leverage than necessary. We will tell you which structure fits.
The rule is the same as any DSCR loan: the income has to cover the full monthly payment, with a 1.0x standard minimum on most programs. What changes with size is the depth of review: more attention to the appraisal, the rent roll, your reserves and your experience owning comparable property. Investors who already own and manage multi-unit buildings usually find the process more straightforward than first-time buyers of a large property. A clean rent roll that matches the leases speeds every step.
| Item | Jumbo DSCR in Lancaster County |
|---|---|
| Loan size | About $1.5M to $5M+ |
| Property | 1-8 unit investment property |
| Purposes | Purchase, rate-and-term, cash-out |
| Income | Property rent; no W-2s or tax returns |
| Max LTV | Often lower on large balances; varies by program |
| Reserves | Typically higher |
| Appraisal | Detailed review; some programs require a second appraisal |
This example is illustrative and not a quote. An investor buys a newer eight-unit building in a township near the city for $1,850,000. Units rent for about $1,725 each, for combined rent of $13,800 a month. County, township and school taxes are about $1,600 a month and insurance is $580.
At 70% LTV the loan is $1,295,000. Estimated principal and interest on a 30-year term is about $8,944, for a total payment of about $11,124 and a DSCR of about 1.24x. At 65% LTV the loan is $1,202,500, the payment is about $10,485 and the DSCR rises to about 1.32x.
| Item | 70% LTV | 65% LTV |
|---|---|---|
| Loan amount | $1,295,000 | $1,202,500 |
| Estimated principal and interest | $8,944 | $8,305 |
| Taxes | $1,600 | $1,600 |
| Insurance | $580 | $580 |
| Total monthly payment | $11,124 | $10,485 |
| DSCR at $13,800 rent | About 1.24x | About 1.32x |
On a large Pennsylvania property, the school district tax can be thousands of dollars a month, and a sale far above the old assessment invites a district appeal. Treat the tax figure as one of the most important inputs on a Lancaster jumbo file: pull the actual bills and estimate taxes on the purchase price if an appeal is likely.
Tax burdens differ noticeably between school districts in the county, so two similar buildings a few miles apart can carry very different payments. Compare the districts before you choose between properties.
High-end homes in Lancaster County do rent, often to executives, physicians or families relocating while they build, but comparable leases are scarce. On a long-term lease, a luxury home's rent is usually low relative to its price, so the DSCR often requires lower leverage. A signed lease is the best support you can bring.
Plan for longer vacancies between tenants at this price level, and keep reserves accordingly. Short-term rental income can sometimes help on a large home near tourist areas, but only where the municipality's zoning allows it. Many townships restrict or regulate STRs, and we only use projected short-term revenue where the property can legally operate.
Few $1.5M+ residential sales happen in the county each year, so appraisers may use sales from a wider area or lean on the building's income. Newer apartment buildings have clearer rent comparables than luxury homes. Expect a more detailed review, and bring rent rolls, leases and any recent sales you know about.
For a newer building, the appraiser will also look at construction quality, unit mix, parking and how the rents compare with nearby apartment communities. Having the certificate of occupancy, warranty information and a clean rent roll makes that review smoother.
Owners of a large Lancaster rental can refinance to pay off an existing loan or to take cash out, with leverage that is generally lower on large balances. Pennsylvania charges no transfer tax on a refinance and has no mortgage tax, which keeps closing costs more predictable on large loans. If you refinance into an LLC, plan the deed transfer with your attorney first.
Our investor loans are business-purpose loans on non-owner-occupied property. Send the address, price or value, rent roll and tax bills through the form below, or call (877) 298-1001, and the team will size the loan at a few LTVs. For statewide context, see our Pennsylvania jumbo DSCR page.
On large balances, a small change in LTV moves the payment by a meaningful amount, so seeing the numbers at 65%, 70% and the program maximum side by side helps you decide how much cash to bring and how much cushion you want above the minimum ratio.
Not very. Most rentals here finance below $1.5M. Jumbo files usually involve newer 7-8 unit buildings or rare high-end homes.
About $1.5M to $5M+ on a single 1-8 unit rental, with more review and often lower max LTV on larger balances.
No. The loan qualifies on the property's rent, with a 620 minimum credit score and typically higher reserves.
They are usually the largest part of a Pennsylvania tax bill and can rise after a sale through a district appeal, which lowers the DSCR.
Possibly, but rent is often low relative to price, so leverage may need to be lower to reach the minimum ratio.
No. Nine or more units is commercial; see our multifamily loans page.
No. Pennsylvania has no mortgage recording tax, and a refinance does not trigger realty transfer tax. Recording and title costs still apply.
If your value is spread across five or more smaller rentals, a blanket portfolio loan often fits better than one jumbo loan.
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