The income question is everything
The financing itself looks familiar — conventional, DSCR, or bank-statement loans. What differs is how the lender treats short-term-rental income. A growing number of DSCR lenders run STR-specific programs that qualify the deal using projected nightly revenue (often via AirDNA or comparable market data) instead of a traditional twelve-month lease.
Not every lender offers this, so look specifically for those advertising STR or Airbnb DSCR programs. If you have strong personal income, a conventional loan still gives you the lowest rate; if you do not, an STR-friendly DSCR loan is usually the path.
Watch the local rules
Lenders increasingly check that short-term rentals are actually permitted at the address. Before you bank on STR income to qualify, confirm the city or county allows it — a regulatory ban can sink both the deal and the financing.
Frequently asked questions
Can I use a DSCR loan for an Airbnb?
Yes — many DSCR lenders now accept short-term-rental income, using platform data such as AirDNA to estimate revenue rather than a long-term lease. Look for lenders that specifically advertise STR or Airbnb DSCR programs.
Is it harder to finance a short-term rental than a long-term rental?
Slightly. Fewer lenders credit projected nightly income, and some require a higher down payment or reserves for STRs. Once you find an STR-friendly lender, the process mirrors a standard rental loan.