Debt Service Coverage Ratio

What DSCR is common for mobile home park loans?

1.2 or better.  Pretty similar to other real estate asset classes.  What will really swing your DSCR is wether your bank is ‘smart’ enough to discount the income from any mobile homes or not.  We did a deal two years ago with separate appraisals on the land and the homes.  It all worked out fine in the end, but it did slow the process to get the MHs appraised.Good luck,-jl-

Thank you Jefferson.  The loan I have has a DSCR of 1.5 so it sounds as though its in line.

We just got offered a loan with DSCR of 1.5 but negotiated to 1.3 (I asked for 1.2.)  Just FYI.Brandon@Sandell.


I tried to negotiate it down to 1.2 as well but the bank wasn’t having it. Will put me to the test at 1.5