How much down payment is needed for a US investment property? – IjaraCDC

Applies to: United States.

The down payment for a US investment property depends on the property and how you qualify. The described program paths include:

15% down with full income documentation: eligible applicants may qualify using personal income. This option can cover up to two properties, subject to the investor's requirements.
At least 20% down for a single-family DSCR path: qualification uses the rental property's cash flow. DSCR means debt-service coverage ratio.
At least 25% down for the multi-unit investment path: the property and application must meet that program's requirements.

These are separate qualifying routes. A first-time investor, a buyer using an LLC and a foreign-national applicant may need different program reviews.

To obtain a useful answer for your purchase, tell the financing team the property location, number of units, intended use, planned ownership and available down payment. Explain whether you want to qualify using personal income or rental cash flow.

Have the team confirm the route, required funds and closing costs before you commit to a deposit. Review the US residential and investment programs for an overview.