DSCR Loans in South Carolina
Why does a $306K South Carolina rental pay nearly double the tax of the same house owner-occupied? Rentals are assessed at 6% instead of 4% and lose the school operating exemption, so plan on about 0.90% effective. The Upstate still pencils, especially Greenville, if you structure the payment.
South Carolina DSCR Loan Market
South Carolina's reputation for low property taxes belongs to homeowners. An owner-occupied home is assessed at 4% of value and exempt from school operating millage. A rental is assessed at 6%, under SC Code 12-43-220, and pays that millage, so this page uses about 0.90% effective instead of the 0.49% homeowner figure. The typical home costs about $306K with rent near $1,650, and insurance averages about $267 a month, higher near the coast.
That makes the Upstate the value play. Greenville and Spartanburg have grown on manufacturing, including BMW's plant in Greer, with rents that hold up relative to price. The sample deal below is a Greenville single-family on an interest-only payment. Columbia adds Fort Jackson and the University of South Carolina.
The coast is the short-term rental market. Myrtle Beach, Hilton Head, Charleston, and Kiawah Island draw heavy tourism, with local and HOA rules that vary a lot. South Carolina is landlord-friendly, with no rent control and a fast eviction process.
Top Investor Cities
- Charleston
- Greenville
- Myrtle Beach
Monthly tax on $306,000 property: $230/mo
8 DSCR Loan Programs for South Carolina Investors
Standard DSCR
The most popular option. 20% down, 660+ credit.
No-Ratio DSCR
No minimum DSCR required. 30% down.
Interest-Only DSCR
Lower monthly payments for better cash flow.
STR DSCR
Use projected Airbnb/VRBO income to qualify.
Foreign National DSCR
No SSN or US credit history required.
Bank Statement DSCR
Hybrid qualification for self-employed investors.
Portfolio DSCR
Finance multiple properties under one loan.
Bridge-to-DSCR
Purchase, rehab, then refinance into DSCR.
DSCR Loan Requirements in South Carolina
Licensing & Regulatory
Loans in South Carolina are originated by a licensed DSCR broker matched to your state. The matched broker holds the required state license; DSCRBroker.com is not the originator.
All lending decisions and terms are determined solely by the matched broker and their wholesale lending partners.
Common Property Types
- Single-Family Rentals
- Short-Term Rentals
- Condos/Townhomes
- Small Multifamily (2-4 Units)
Down Payment & LTV
- Standard DSCR: 20% minimum down (80% LTV)
- No-Ratio DSCR: 30% minimum down (70% LTV)
- 30%+ down unlocks No-Ratio DSCR programs and broader lender access
Appraisal & Rent Schedule
- Form 1007 rent schedule required with appraisal
- Appraisal estimates market rent for DSCR calculation
- STR properties: AirDNA projected income accepted
Sample DSCR Deal in Greenville, South Carolina
3-bed / 2-bath SFR
Purchase in Greenville, South Carolina
Monthly Breakdown
This borrower closed in 24 days with no income verification, no tax returns, and no employment check.
Results may vary. This is a representative example, not a guarantee of future performance.
This deal example is for illustrative purposes only and is based on representative scenarios across our broker network. Actual loan terms, approval, and closing depend on your full credit profile, property details, appraisal, and the matched lender's specific guidelines. This is not a loan offer or commitment to lend.
DSCR Loan Questions for South Carolina Investors
Roughly double what an owner-occupant pays on the same house. South Carolina assesses a primary residence at 4% of value and exempts it from school operating millage. A rental is assessed at 6%, under SC Code 12-43-220, and pays the school operating millage, which is why this page uses about 0.90% effective instead of 0.49%. Counties and school districts vary, so the multiple is not exact. Your matched specialist should price the rental bill for the parcel, not the seller's.
Often, through an STR DSCR loan that qualifies on projected short-term income. Myrtle Beach, Hilton Head, Charleston, and Kiawah Island are the state's premier short-term rental markets, but the rules differ sharply. Charleston restricts short-term rentals in many residential areas, and many HOAs and some municipalities limit or prohibit them. Condo-hotel units in Myrtle Beach may not qualify with every lender. Confirm the zoning, the permit, and the association rules first, and get a coastal wind and flood quote.
Because the rental tax class raises the payment enough that a plain 30-year loan on a typical Greenville house lands just short of 1.0. Interest-only lowers the monthly principal and interest during the interest-only period, which tips the ratio over. The Upstate's rent growth and manufacturing base make a long hold reasonable. The tradeoff is slower equity build and a higher payment later, so it fits investors planning to hold through that step-up.
Yes, in several markets. Fort Jackson anchors Columbia, Shaw Air Force Base supports Sumter, Joint Base Charleston adds demand around North Charleston, and Parris Island and the Marine Corps Air Station support Beaufort. Service members on a set tour often prefer to rent, and turnover clusters in summer. Qualify on market rent from the appraisal, and in the coastal markets, check the flood zone and the insurance quote before you count the rent.
Already eyeing a property in South Carolina?
Bring the address or just a price range. Your matched specialist will run the ratio, flag what the lender will ask for, and structure the file around the rent. 2 minutes. No SSN. No credit pull.
Match Me With a SpecialistLoans in South Carolina are originated by a licensed DSCR broker matched to your state. The matched broker holds the required state license; DSCRBroker.com is not the originator. The matched broker is not affiliated with DSCRBroker.com except as a participating broker in our matching network. All lending decisions and terms are determined solely by the matched broker and their wholesale lending partners.