Tommy DobczykOpportunity Zone Advisor, OZ Wizard · Director of Development | Certified Opportunity Zone Advisor

Unlock Real Estate Riches: Trust & DSCR Loan Secrets Revealed! #shorts

14 Mar 2026 · 1 min

Watch on YouTube

1:05

In this concise instructional video, the speaker walks real‑estate investors through the common obstacles and practical fixes when trying to secure a Debt Service Coverage Ratio (DSCR) loan using a revocable living trust. Key challenges include lenders refusing to accept trust‑owned collateral and trust documents being overly broad, which can be resolved by providing a certification of trust, obtaining attorney review, and confirming lender acceptance early. The speaker also addresses low DSCR ratios, recommending rent increases, short‑term rent guarantees, and professional property‑management statements to boost Net Operating Income. A concrete financial example illustrates a $1.2 million appraised property at 70 % LTV, yielding an $840 k loan; paying off an existing $330 k mortgage frees roughly $510 k for rehab, new investments, or cash needs. The video outlines a step‑by‑step process map—drafting the trust, transferring the deed, assigning beneficial interest, engaging the DSCR lender with proper documentation, and closing—while emphasizing the need for attorney, CPA, and title‑company involvement to manage legal, tax, and title‑insurance considerations. The speaker offers to provide a visual diagram or checklist of required documents.

Chapters

Are you in the deal room? Challenges and solutions. Challenge solution: lender won't accept trust. Title use revocable living trust and get lender approval before reporting. Trust docs too broad, unclear. Provide certification of trust and attorney review paperwork. DSCR too low, consider rent increase or short-term rent guarantee documentation. Next investor deductions use professional property management statements for NOI. Example how the numbers might work. Assume appraised value $1,200,000, 70% LTV, $840,000 loan, existing mortgage $330,000. You could pay off the $330,000 existing loan, freeing up approximately $510,000 or rehab plus improvements, investment projects, cash to fund business, other properties. Key tips before you proceed: attorney, set up trust plus assignments, CPA, tax impact, lender early confirm they accept trust-owned collateral, title company verify title insurance coverage after transfer. Summary, quick process map: draft revocable living trust, deed transfer property into trust, assign beneficial interest to TMP property, approach DSCR lender early, provide trust docs plus ranking, Approve, close loan, use proceeds for your financial goals. Would you like a visual diagram of this flow or a checklist of documents you'll need to organize before lenders review you?