What debt service coverage ratio do lenders require?

Most lenders prefer a DSCR of 1.20x or more, though the requirement depends on the borrower's financial strength and the property type. Multifamily apartment properties may qualify at 1.20x, while riskier property types such as hotels or self-storage facilities may need 1.40x to 1.50x.

What is typically required to finance a mobile home park?

Requirements vary by lender, but the site lists a DSCR of at least 1.25x or 1.30x, an existing and stabilized property, 50+ pad sites, 90%+ tenant-owned homes, skirting, more than 50% doublewide homes, off-street parking, paved roads, concealed hitches, and no option to purchase the pad site in the leases.

Debt marketplaces

Janover

Janover is a commercial mortgage brokerage and capital markets desk that arranges debt rather than lending its own money. Its Multifamily Loans site covers apartment, senior housing, student housing, affordable housing, and mobile home park financing, and the same capital markets team handles every mandate on the site.

The desk places loans with agency lenders (Fannie Mae and Freddie Mac), HUD, CMBS conduits, banks and credit unions, life companies, debt funds, family offices, hedge funds, and crowdfunding sources, and says it manages hundreds of existing lender relationships. Mobile home park and manufactured housing community financing is quoted from Freddie Mac and Fannie Mae MHC programs, CMBS, and permanent bank loans; those loans can start as low as $1 million with leverage up to 80% loan-to-value. Life company loans are listed at $2 million and up, with 10- to 25-year terms, leverage up to 75% and often capped at 65%, a 1.25x minimum DSCR, and non-recourse structures with standard carve-outs.

The site publishes benchmark indexes and indicative product spreads updated daily, along with free calculators for DSCR, cap rate, debt yield, NOI, LTV, IRR, yield maintenance, and cash-on-cash. A quote request asks for details on the property and returns sizing, likely executions, and indicative terms at no cost and no obligation.

Because Janover is an intermediary, the terms quoted are indicative until a lender issues them. Ask who the actual lender would be, what the brokerage fee is, and who pays it.

Best for

Owners and buyers of mobile home parks, apartments, and commercial property with loan requests from around $1 million upward who want terms shopped across agency, bank, CMBS, life company, and bridge lenders rather than one bank.

What they do

Fannie Mae and Freddie Mac manufactured housing community loans
Fannie Mae and Freddie Mac multifamily loans
HUD multifamily loans
CMBS conduit loans
Bank and credit union permanent financing
Life company loans
Bridge loans
Construction loans
Refinancing and loan sizing analysis

What stands out

Mobile home park loans are quoted from as low as $1 million with leverage up to 80% loan-to-value.
Lists life company terms at $2 million and up, 10- to 25-year terms, leverage up to 75% and often capped at 65%, with a 1.25x DSCR.
Publishes benchmark indexes and indicative product spreads updated daily.
Provides free calculators for DSCR, cap rate, debt yield, NOI, LTV, IRR, and yield maintenance.
Operates a family of sites including Commercial Real Estate Loans, Apartment Loans, HUD Loans, and CMBS Loans.

Common questions

What debt service coverage ratio do lenders require?: Most lenders prefer a DSCR of 1.20x or more, though the requirement depends on the borrower's financial strength and the property type. Multifamily apartment properties may qualify at 1.20x, while riskier property types such as hotels or self-storage facilities may need 1.40x to 1.50x.
What is typically required to finance a mobile home park?: Requirements vary by lender, but the site lists a DSCR of at least 1.25x or 1.30x, an existing and stabilized property, 50+ pad sites, 90%+ tenant-owned homes, skirting, more than 50% doublewide homes, off-street parking, paved roads, concealed hitches, and no option to purchase the pad site in the leases.