Question 1

What rent should I underwrite on a Tampa Bay rental?

Accepted Answer

Start with the submarket, not the metro number. Zillow's city-level rent index for June 2026 spread from $2,262 in Wesley Chapel and $2,159 in Riverview down to $1,822 in Largo and $1,639 in Brandon, with Tampa at $1,999, St. Petersburg at $2,058, Clearwater at $1,962, and Plant City at $1,847. That is a $600 range inside one metro. Direction differs too: Brandon rent was down 4.2% year over year while its home values fell only 1.3%, which compresses yield, and Clearwater was down 2.5%. We underwrite to a supported rent on the subject property, not to a metro average. Run the deal yourself first with the DSCR calculator.

Question 2

Are Tampa rents falling?

Accepted Answer

Houses and apartments are moving in opposite directions. As of June 2026 the single-family rent index for the Tampa metro was $2,426, up 1.1% year over year, while the all-property-types index was $2,020, down 0.7%. That gap is the apartment delivery wave showing up in the blended number. If you are buying a house, you are not exposed to that supply in the same way, though elevated apartment vacancy and concessions do put a ceiling on what you can push a renewal to. Underwrite today's collected rent and treat any recovery as upside.

Question 3

Can I use short-term rental income on a Florida DSCR loan?

Accepted Answer

Only where the specific parcel can legally run short stays, and in Florida that turns on a 2011 date. Florida Statutes section 509.032(7)(b) says a local government may not prohibit vacation rentals or regulate the duration or frequency of rental, but the preemption does not reach any ordinance adopted on or before June 1, 2011. So a city cannot impose a new minimum stay, while a grandfathered rule stands and is enforceable. St. Petersburg is the live example: under its grandfathered ordinance a property may be rented for under 30 days no more than three times in any 365-day period unless it sits in a district that allows hotel or motel use, plus a city permit, a business tax receipt, and a state license. The City of Tampa has no citywide minimum stay, and Clearwater is the tightest regime in the area, with registration, a 7-night minimum in certain residential zones, and annual inspections. Every Florida short-term rental also needs a DBPR license under Chapter 509. Verify the current municipal code for your address, and talk to your attorney before you build a pro forma on nightly income.

Question 4

How much does Florida insurance change a Tampa DSCR ratio?

Accepted Answer

Enough to decide the deal, and the news is better than the reputation. Florida's regulator reported county average homeowners premiums including wind, as of March 2026, of $4,063 in Pinellas, $3,525 in Hillsborough, and $2,756 in Pasco. The roughly $1,300 Pinellas to Pasco gap is about half a month's rent on a $2,000 rental, before flood, which is a separate policy that a lender will require in a Special Flood Hazard Area, and much of coastal Pinellas is in one. At the same time premiums are finally coming down: the average premium including wind fell in 51 of 67 counties between the regulator's January and July 2026 reports, 21 new carriers have been approved since the 2022 and 2023 reforms, and Citizens is down to 293,465 policies in force as of June 5, 2026, its lowest in 25 years, with approved 2026 cuts of 8.8% on homeowners multiperil and 5.5% on wind-only effective July 1, 2026. Get a bound quote on the subject property before you lock your assumptions.

Question 5

Why is my Florida tax bill higher than the seller's was?

Accepted Answer

Because the assessment cap resets when the property changes hands. Homesteaded property in Florida is capped at 3% or CPI, whichever is lower. Everything an investor owns falls under the separate 10% annual cap on non-homestead property, which applies automatically with no application. The catch is that the cap resets on change of ownership, so your first full tax year is typically assessed at market value with no carryover from the seller's capped basis. A seller's historic tax bill systematically understates what you will pay. We underwrite to the go-forward assessed bill, not last year's. Use the county property appraiser's address-level estimator for a real number, and talk to your CPA about your own position.

Question 6

What Florida closing costs should I plan for on a DSCR refinance?

Accepted Answer

Documentary stamp tax is the line that surprises out-of-state investors. Florida charges 70 cents per $100 of consideration on the deed, and consideration expressly includes the amount of any mortgage or other encumbrance whether or not the underlying debt is assumed. Notes and mortgages carry a separate stamp of 35 cents per $100 of the obligation. The statute puts deed stamps on the purchaser, though in most Florida counties the seller customarily pays them by contract, so the contract, not the statute, controls at closing. On a purchase these are real dollars in your basis, and on a cash-out refinance the note and mortgage stamps apply to the new obligation. Confirm the exact figures with your closing agent.

Question 7

What is a DSCR loan, and how do I qualify without tax returns?

Accepted Answer

A DSCR (debt service coverage ratio) loan qualifies on the property's rental income instead of your personal income, so there are no W-2s or tax returns required. We compare the rent, from a signed lease or the appraiser's market-rent estimate, against the monthly payment. A DSCR of 1.00 means the rent covers the payment, and we lend with a DSCR as low as 0.75.

Question 8

What rate and terms can I get on a rental loan?

Accepted Answer

Our rental program starts around 5.50% interest-only, with 30-year fixed and 5/7/10-year ARM options, for a single property or a whole portfolio. The lowest pricing goes to strong credit, lower leverage, and a DSCR above 1.20; your quote depends on the file and is subject to underwriting.

Question 9

How much can I borrow, and what is the maximum LTV?

Accepted Answer

We finance up to 80% loan-to-value on a purchase, with rate-and-term and cash-out refinances available, on loan amounts from $100K to $3M. Cash-out leverage is typically a little lower than purchase. The property's cash flow and your credit set your final leverage.

Question 10

What credit score do I need for a DSCR loan?

Accepted Answer

We start at 640, and the best pricing goes to strong credit. Because the loan qualifies on the asset, your score affects your rate and leverage more than whether you are approved.

Question 11

Can I get a DSCR loan on a short-term rental (Airbnb)?

Accepted Answer

Yes, short-term rentals are considered. We can underwrite using market or projected rents, and the property still needs to meet our DSCR. Tell us how the property is operated so we can structure it correctly.

Question 12

Is there a prepayment penalty?

Accepted Answer

Long-term rental loans usually carry a prepayment penalty, commonly a step-down such as 5/4/3/2/1. We offer flexible prepay structures, including buying down to a shorter penalty for a slightly higher rate, and we will lay out the options on your term sheet.

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