UHM Platinum DSCR Loan – A Smarter Way to Finance Wisconsin Investment Properties in 2025
UHM Platinum DSCR Loan - Designed for Investors, Built for Cash Flow
The UHM Platinum DSCR loan Wisconsin investors are using in 2025 is designed for professionals who know how to make real estate work for them. This loan program helps you qualify based on your property's income potential, not your personal tax returns - making it one of the most flexible and investor-friendly loan products available.
Whether you're growing a portfolio or buying your first investment property, Union Home Mortgage's Platinum DSCR program gives you access to funding that's faster, simpler, and built around rental performance.
What Is a DSCR Loan?
A Debt Service Coverage Ratio (DSCR) loan is a type of financing that qualifies borrowers based on the rental income generated by the property, rather than traditional W-2 or tax return income.
In simple terms, lenders look at how well your property's income covers its debt payments using the formula:
DSCR = Gross Rent ÷ PITIA (Principal, Interest, Taxes, Insurance, HOA)
A DSCR of 1.00x or higher means the property produces enough income to cover all monthly expenses.
This makes DSCR loans ideal for investors who want to qualify using property performance instead of personal income verification.
Why the UHM Platinum DSCR Loan Stands Out
Union Home Mortgage's Platinum DSCR program takes this proven concept and makes it even more flexible. Here's what sets it apart (based on the program sheet reviewed on page 1 - 2 of the official Union Home Mortgage Platinum DSCR guide):
- Investment properties only - ideal for income-producing rentals (primary residences not eligible).
- Minimum DSCR: 1.00x.
- Minimum FICO: 660 (700 for first-time investors).
- Maximum LTV: 80% for qualified borrowers.
- Loan amounts: $50,000 to $3 million (senior management approval required for loans over $2 million).
- Maximum cash-out: $500,000.
- 6 months reserves minimum.
- Manual underwriting required on all Non-QM loans.
All DSCR loans under this program are classified as business purpose loans, meaning the borrower may not occupy the property for more than 14 days per year and all cash-out proceeds must be used for business activities like acquisition, maintenance, or improvement of rental properties (see Program Description on page 1 of the guide).
Who Qualifies for the UHM Platinum DSCR Loan?
This program is designed for professional investors with at least 12 months of experience owning or managing income-producing real estate within the last 36 months (page 1).
However, first-time investors are eligible if they meet all of the following:
- DSCR ≥ 1.00x
- Credit Score ≥ 700
- No exceptions on file
That flexibility makes it an excellent entry point for aspiring real estate investors who want to start building their rental portfolio under a true business-purpose structure.
Eligible Property Types
According to the property matrix on page 2 - 3 of the UHM Platinum DSCR guide, eligible properties include:
- Single-family homes (attached or detached)
- 2 - 4 unit properties
- Townhomes, PUDs, and warrantable condos
- Modular homes and log homes (facade only)
Not eligible: Primary residences, second homes, co-ops, non-warrantable condos, land trusts, manufactured homes, and commercial or agricultural properties.
Example: Turning Cash Flow into Financing Power
Let's say you're buying a duplex in Milwaukee that earns $3,000 in monthly rent. Your PITIA (mortgage, taxes, insurance, HOA) totals $2,700.
DSCR = $3,000 ÷ $2,700 = 1.11x
That means the property generates 11% more income than expenses - making it qualify under the UHM Platinum DSCR guidelines.
This approach gives experienced investors flexibility to scale without the bottlenecks of traditional full-doc underwriting.
Why DSCR Loans Are Taking Off in Wisconsin
Wisconsin's rental markets - especially in Milwaukee, Waukesha, and Madison - have seen steady growth and low vacancy rates since 2020.
As rents rise and inventory stays tight, investors are turning to debt-service-based financing to add properties quickly without tying up personal income documentation.
The Construction-to-Permanent Loan Program is often used in tandem for those building or rehabbing rental homes before transitioning into the UHM Platinum DSCR loan.
Important Details & Program Rules
- Cash-Out Purpose: Funds must be used for business purposes (acquisition, maintenance, improvement of rental properties).
- Occupancy: Borrower cannot reside in the property more than 14 days per year.
- Non-QM Manual Underwriting: Every loan is manually underwritten to ensure property and borrower fit guidelines (page 3 - Underwriting & Compliance section).
- Maximum Exposure: Borrowers may have up to five UHM mortgages concurrently (page 3).
Ready to Expand Your Real Estate Portfolio?
Whether you're an experienced investor or a first-timer ready to start, the UHM Platinum DSCR loan is built to help you scale smartly. It lets the numbers on your properties do the talking - and Union Home Mortgage makes the process fast, transparent, and tailored to your goals.
If you want to learn how this program compares to Fannie/Freddie investment options, check out our guide on Conventional Construction-to-Permanent Loans in Wisconsin for a side-by-side look at how different programs fit different investment plans.
Adam Zeman - NMLS #870441
Union Home Mortgage
Serving Milwaukee, Waukesha & all of Wisconsin
📞 414-975-2654
📧 azeman@uhm.com
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