Skip to main content
Apply nowApply now
Direct private lending in most states
Call us anytime at 512-617-9400
Program 02
Rental / DSCR in Tacoma
DSCR loans for Tacoma rentals, financed on cash flow.
Hold your rentals with financing that underwrites the asset, not just you. DSCR as low as 0.75, rates from 5.5% interest-only, and 30-year fixed options for single properties or whole portfolios. Tacoma's entry basis runs well below Seattle's while rents hold up better, a gap that favors DSCR math, and Joint Base Lewis-McChord anchors local rental demand with a housing allowance published every year. Business-purpose only, and rates and structure are set in underwriting.
0.75
min DSCR
5.5%
rates from
30-yr
fixed avail.
80%
max LTV
Typical figures, subject to underwriting and market conditions. Not a commitment to lend.
How it works
No tax returns or personal income docs in most cases. We qualify on the property's cash flow, so you can scale your portfolio without the paperwork drag of conventional lending.
Who it's for
Buy-and-hold investors
Single rentals and portfolios
Short-term rentals considered
Rate/term and cash-out refi
Typical terms
Loan amount$100K to $3M
Max leverageUp to 80% LTV
DSCRFrom 0.75
CreditFrom 640
Term30-yr fixed / 5-7-10 ARM
RateFrom 5.50% IO*
PrepayFlexible structures
*Typical terms, subject to underwriting and market conditions.
Run your Rental / DSCR numbers.
Pressure-test the deal in seconds with our free dscr calculator, no sign-up required.
Local FAQ
Rental / DSCR in Tacoma, answered.
Does Washington's statewide rent cap apply to a Tacoma single-family rental?
Yes, for most non-owner-occupied rentals, and this is the fact most out-of-state DSCR borrowers get wrong. Washington caps annual rent increases at 7% plus CPI or 10%, whichever is less, which the Department of Commerce set at 9.683% for calendar 2026. A detached single-family rental is NOT categorically exempt: the exemption for owner-occupied small properties requires the owner to actually live there and be a natural person, not a corporation or an LLC with a corporate member, so the classic non-owner-occupied DSCR asset is covered once the building is more than 12 years past its first certificate of occupancy. The two exemptions an investor actually gets are that 12-year new-construction window and vacancy decontrol between tenancies. Talk to your attorney or CPA before structuring an increase around an exemption claim.
How much notice does Tacoma require before I raise a tenant's rent?
180 days, on a city-established form, longer than the state's 90-day floor. Tacoma City Council's Amended Substitute Ordinance 29086, effective January 1, 2026, changed the rent-increase notice under TMC 1.95.060 from 120 days to 180 days, and the notice must describe the relocation assistance program and how any payment is calculated. This replaced an earlier two-notice regime under the Landlord Fairness Code Initiative; that provision, TMC 1.100.090, is now marked repealed, so a single 180-day notice is the current rule, not a 210-day-plus-reminder structure some older sources still describe.
What is Tacoma's relocation assistance duty, and when does a rent increase trigger it?
A rent increase of 5% or more within a 12-month period can obligate you to pay a departing tenant relocation assistance, on a tiered scale: two months of rent for an increase of 5% up to 7.5%, two and a half months for an increase over 7.5%, and three months for an increase over 10%, payable within 30 days of the tenant's request. This is genuinely Tacoma-specific under TMC 1.100.050, not a statewide rule. Exceptions exist for a landlord living on a four-or-fewer-unit site, tenants who have occupied the unit less than six months, and a landlord temporarily renting out a principal residence while on active duty military service. Underwrite any planned rent bump against this cash cost before you plan it.
Can I underwrite a Tacoma rental against Joint Base Lewis-McChord's housing allowance?
It is a reasonable rent floor for the JBLM belt, and it is published and updated annually. JBLM is the largest employer in Pierce County, and roughly 70% of its workforce lives off base, in the surrounding communities including Lakewood, Spanaway and Parkland. The 2026 Basic Allowance for Housing for the Tacoma military housing area starts at $2,370 a month for junior enlisted service members with dependents, a federally funded, tax-free figure that resets every January and sits above Tacoma's broader observed rent levels. Treat published BAH as a floor for military-tenant underwriting, not a promise of who will rent the unit; verify against the DoD housing allowance calculator for the specific paygrade. See our DSCR rental loan program for how we qualify on the property's cash flow.
How does Tacoma's rent-to-price ratio compare with Seattle's for a DSCR deal?
Tacoma trades at roughly 58% of Seattle's mid-tier home price while renting for about 79% as much, a gap that shows up directly in gross yield: about 4.21% in Tacoma against 3.12% in Seattle, based on June 2026 Zillow value and rent index data. Tacoma rents were also rising faster than Seattle's over the prior year. This is arithmetic on published index levels, not a cap rate, since it nets out no expenses, and it is a market-level comparison, not a promise for any one property. Run your own numbers against the specific asset before you lock a rent assumption.
How does Pierce County's annual property revaluation affect my Tacoma DSCR underwriting?
Pierce County revalues every property every year, with physical inspection on a six-year cycle, so there is no acquisition-triggered reset and no multi-year lag to hide behind. A rehab that lifts a property's market value shows up in the assessment the following cycle, every cycle, with no cap absorbing it. Model your tax line as rising with the property's after-repair value, not with the purchase price, and budget for the possibility every year rather than assuming a stable bill. A specific Tacoma or Pierce County tax rate is not published here; pull the parcel's own tax code area from the Assessor-Treasurer before you underwrite the number.
What do I need to bring to close on a Tacoma rental?
Twenty percent of the price, plus closing costs and reserves. We lend up to 80% LTV on a DSCR file, so on a $500,000 Tacoma rental that is $400,000 from us and $100,000 from you (500,000 x 80% = 400,000). Leverage is capped by the rent as well as the value, since the file has to clear a DSCR from 0.75. Subject to underwriting.
What credit do you need to qualify a Tacoma rental on its own rent?
Credit starts at 640 on this program. The property still carries the file, with DSCR from 0.75 and no W-2s or tax returns, but 640 is the floor for DSCR pricing. If your score sits under that, our asset-based programs carry no minimum score at all, so a Tacoma rehab or bridge file is often the way in while you get the score up. There is no hard credit pull to start. Subject to underwriting.
Is my Tacoma deal big enough for a DSCR loan?
The program runs $100K to $3M, which covers almost everything in this market. Tacoma's mid-tier home value sat at $498,063 in June 2026 against Seattle's $856,052, so a typical Tacoma single-family rental lands well inside the range rather than pressing the ceiling. A small multi-unit or a higher-basis Gig Harbor file is where the top of the range starts to matter. Subject to underwriting.
What happens to my prepayment terms if I sell a Tacoma rental early?
Prepay is a structure we set with you, not a fixed penalty you inherit. DSCR loans here carry flexible prepayment structures, quoted alongside the rate and the term, whether you take the 30-year fixed or a 5, 7 or 10-year ARM. Tell us up front if the Tacoma hold is a three-year plan rather than a thirty-year one, because that changes which structure we put in front of you. Subject to underwriting.
More Rental / DSCR questions, answered on the program page
Resources
Guides for Rental / DSCR
Rental / DSCR · 5 min read
What Is a DSCR Loan? How Investors Qualify on Rental Income
Read the guide Strategy · 6 min read
Financing the BRRRR Method: Buy, Rehab, Rent, Refinance, Repeat
Read the guide Rental / DSCR · 5 min read
DSCR vs Conventional Loan: Which Is Better for Investment Property?
Read the guide Rates & Costs · 5 min read
Hard Money Loan Rates and Costs, Explained
Read the guide More in Tacoma
Other programs in Tacoma
Fix and FlipUp to 90% / 100% rehabGround-Up ConstructionUp to 70% LTV, most statesCRE BridgeUp to $10M, 24-36 moTransactional FundingSame-day double-close capitalBank Statement / No-DocNo tax returns requiredConventional InvestmentNon-owner-occupied investmentPortfolio LoansMultiple properties, one loanCRE PermanentLong-term agency & permSBA Financing7(a) & 504 placement
About the local figures on this page
Local rules move. Every tax rate, fee, ordinance and market figure here comes from a primary source and carries the date we read it, and we correct them as the rules change. Where a number is mid-change or we could not verify it, we say so rather than guess. Before you commit a budget, confirm anything that drives it with the city or county, and talk to your attorney or CPA on questions of law or tax.
Published by USA Mortgage Funding, LLC, NMLS #152588. Researched from primary sources by our team, drafted with AI assistance, and every figure checked against its source before publishing. Where an answer rests on a public record, that record is linked under it. Figures read on 2026-08-15.
Funding Tacoma deals fast.
Get real terms, usually same day. No obligation, no hard credit pull to start.