Washington DSCR Lenders 2026: 1,799 Loans, 110 Lenders Ranked

From 10,986 investor loans to 1,799 DSCR-type loans

The federal file does not label DSCR loans, so the first job is to say what we counted. Every step below is a filter on the raw 2025 Washington file, and each count is in the data file.

How Washington's 2025 investor loans narrow to the DSCR-type group (federal HMDA data, our arithmetic)

The short-term slice of the same file (1,695 loans, median 10.5%) is read on our Washington hard money page. Median note rates differ sharply by group, and the DSCR-type rate is neither the highest in the file nor the lowest.

Median note rate by loan group, Washington investor loans, 2025 (our arithmetic)

The DSCR-type premium over a borrower who qualified on personal income is a quarter of a point (7.125% against 6.875%). Washington's DSCR-type median is a quarter of a point under the nation's 7.375% on the same definition (DSCR lenders ranked by loans). The 174 loans of 5 to 29 years have a lower median (6.634%) because they come largely from banks and credit unions (Peoples Bank 23, Fibre Federal Credit Union 14, Gesa Credit Union 12 and Banner Bank 11 are the largest), a point the bank section returns to.

Ranking Washington lenders two ways

Which lender is the biggest in Washington depends on what you count. Ranked by every conventional investor loan, the top of the list is dominated by the two local short-term lenders, Eastside Funding and Rain City Capital, then wholesale and retail mortgage companies. Ranked by the DSCR-type subset, the short-term lenders and most retail lenders drop out.

Top 15 Washington lenders by all conventional first-lien investor loans, 2025, with how many were DSCR-type

Four things stand out. Eastside Funding (median 12%) and Rain City Capital (median 10.5%) are short-term lenders: 416 and 412 investor loans, 0 and 14 of them DSCR-type. Kiavi Funding's overall median of 10.45% reflects 262 investor loans, of which only 28 were DSCR-type, at a 7.0% median. PennyMac, CMG, Movement, Guild, DHI Mortgage and Rocket together made 1,360 investor loans and 38 DSCR-type ones, so a lender large in investor loans is not necessarily a DSCR lender. And two of the 15 are national banks, JPMorgan Chase and U.S. Bank, with 288 investor loans and no DSCR-type loans.

Top 20 Washington lenders by DSCR-type loans, 2025

What the second list says:

• It is less concentrated than Tennessee or Arizona. The five largest made 23.8% of the 1,799 loans, the top 10 38.9% and the top 20 57.9%. Fifty lenders made 10 or more; 19 made exactly one; the 60 lenders with fewer than 10 loans made 11.3% together.
• Wholesale versus direct is a clean split. United Wholesale Mortgage, Champions Funding, OCMBC, Deephaven, The Loan Store and Velocity took 100% of their Washington loans through brokers; East West Bank, Yakima Federal, Hometown Equity, General Mortgage Capital, Guaranteed Rate and NFM took none. Overall 960 loans (53.4%) came through brokers, at a 7.25% median, against 7.0% for the 839 submitted directly.
• East West Bank is a King County story. 73 of its 80 loans are in King County, where it is the largest DSCR-type lender (73 of 539 loans, 13.5%), with a $460,000 median loan. Champions Funding (38), United Wholesale Mortgage (28) and General Mortgage Capital (27) follow there.
• Emporium TPO shows up only because we fixed a unit problem. The lender reports some 30- and 40-year loans with a term of 30 and 40 (years entered in a field that counts months). We counted its 8 Washington DSCR-type loans (6 reported as 30 and 2 as 40) as 360 and 480 months, as our Tennessee, Arizona and national pages do; a plain 360-month filter would have dropped them.

The platform lenders borrowers ask about

Kiavi Funding reported 28 DSCR-type loans (median $295,000, 7.0%) plus a much larger short-term business. Investor Mortgage Finance, the entity that makes Visio Lending loans, reported 27 at 7.05% and a $375,000 median. Velocity Commercial Capital reported 37 at 9.865%, and Lima One Capital reported 9. These are only the loans HMDA shows, under the names the lenders filed; see our Kiavi review, Visio review and Lima One review for the lenders themselves. Lenders we have reviewed with Washington volume: Champions Funding, HomeXpress, OCMBC, Deephaven, The Loan Store, Hometown Equity and Nexera.

Rates by lender: 6.375% to 9.865%

For the 31 lenders with at least 20 DSCR-type loans, the median note rate ranges more than three points. This is a median of closed loans, not a quote; a lender whose median is low may have written its loans at lower leverage or for stronger borrowers, which the file does not show.

Median DSCR-type note rate for Washington lenders with 20 or more loans, 2025 (lowest to highest)

Thirty of the 31 are inside a band of just over one point, 6.375% to 7.5%; Velocity Commercial Capital stands alone at 9.865%, and its 32 loans above 9% are half of the 64 in the state. The two lowest medians, Cathay Bank (6.375%) and Conventus Lending (6.5875%), are small groups of 22 and 24 loans at large loan sizes ($595,000 and $490,000 medians). The payment gap is real money on the typical loan:

Monthly principal and interest on $365,000, 30-year fixed, at Washington DSCR-type rates (our arithmetic)

Going from the 25th-percentile rate to the median costs $91.69 a month, $1,100.28 a year, on $365,000; from the median to Velocity's median, $707.71 a month (our arithmetic). Unlike Tennessee, loan size barely moves the median here: 7.0% under $150,000 (50 loans), 7.125% for each of the three bands from $150,000 up. Leverage does: the median was 6.875% at a loan-to-value ratio of 60% or less (556 loans), 7.125% from over 60% to 70% (504), 7.25% from over 70% to 75% (380) and 7.27% above 75% (195). Purchases (675 loans) had a 7.125% median, cash-out refinances (683) 7.25%, other refinances (381) 7.0%. Interest-only payments were reported on 345 loans (19.2%), 45 of them Yakima Federal's.

Banks: two in the top five, most large ones absent

Washington has 136 bank-named lenders (names containing Bank, Credit Union, Federal, Savings, N.A. or similar) with at least one conventional investor loan in the file. Together they made 1,954 of the 9,508 (20.6%). Sixteen of them made a DSCR-type loan, 229 in all (12.7%), and 150 came from two lenders that are not Washington's household banks.

Selected banks with Washington investor loans, 2025: how many were DSCR-type, and how many reported a debt-to-income ratio

The pattern is that a large bank's investor loan carries a recorded debt-to-income ratio, which puts it outside our group: JPMorgan Chase reported one on all 151 of its investor loans, U.S. Bank on 124 of 137, Boeing Employees' Credit Union on all 93. East West Bank and Yakima Federal are the opposite: 80 of 81 and 70 of 71 investor loans fall in the group, none reported a DTI, and both have a median term of 360 months or more. Cornerstone Capital Bank made 17 of 71. HMDA cannot tell you whether a bank's no-DTI loan is underwritten on rent; it tells you the ratio field was blank.

Yakima Federal Savings & Loan: the local lender nobody ranks

Yakima Federal reported 70 DSCR-type loans for $24,230,000: all in Washington, all submitted directly (no brokers), median note rate 7.25% (middle half 7.0% to 7.375%), median loan $345,000, median loan-to-value 71%. 49 were on single-family properties, 14 on duplexes, 2 on triplexes and 5 on fourplexes. 36 were in Yakima County (40.4% of that county's 89 DSCR-type loans), 19 in Benton, 11 in Franklin and 4 in Kittitas. 45 (64.3%) were interest-only, none had a balloon, and 37 had a term of 366 months, 25 of 360, and 8 of 367 to 369 (our reading of the term field; HMDA does not say why). The bank's investor loans are counted at 71, so almost all of its investor lending is in this group. We could not find a Yakima Federal web page describing an investor-property or rental product, so whether these are DSCR-underwritten is not known. What the record shows is a direct-lending Eastern Washington savings bank pricing a no-DTI business loan at 7.25%, between 0.125 and 0.25 points under the wholesale lenders at the top of the list (7.375% to 7.5%).

Where in Washington: Puget Sound and the Yakima Valley

Three counties made 895 of the 1,799 loans (49.7%), and 49 (2.7%) reported no county. Thirty-nine counties had at least one DSCR-type loan and 24 had 10 or more.

Top 10 Washington counties by DSCR-type loans, 2025

• King County is a bank and wholesale market. 539 loans, a $475,000 median, and 19.1% of its 2,827 investor loans were DSCR-type. East West Bank (73), Champions Funding (38), United Wholesale Mortgage (28), General Mortgage Capital (27) and CrossCountry Mortgage (21) lead there.
• Pierce and Snohomish are Champions and broker markets. Pierce had 217 loans (19.9% of its investor loans) with Champions Funding (19), NFM (13), The Loan Store (12), A&D Mortgage (11) and Velocity (9) ahead; Snohomish had 139 (13.2%), the lowest DSCR-type share of the big three, with no lender above 9 loans.
• Yakima County is the DSCR county. 41.6% of its 214 investor loans are DSCR-type, the highest of the large counties, on a $255,000 median loan, and Yakima Federal made 36 of the 89. Benton County (Tri-Cities) is next at 29.2% of 243, with Yakima Federal again first (19 of 71).
• Spokane is a smaller market. 124 loans at a $305,000 median loan and a 7.025% median rate; Guaranteed Rate (17), Sunflower Bank (15) and United Wholesale Mortgage (14) lead.

What the Washington rules add for a DSCR borrower

HMDA tells you who lends and at what rate. Two Washington statutes we read on app.leg.wa.gov on October 30, 2026 change what the rent side of a DSCR file is worth or whether a rate can be challenged. Each is a reading of public text, not legal advice. Washington's licensing, foreclosure and sale-tax rules for investor loans, which we read for short-term loans, are on our Washington hard money page; the state capital gains tax and real estate are on our Washington capital gains page.

A cap on annual rent increases

RCW 59.18.700(1)(a) says that, except as authorized by an exemption under RCW 59.18.710, a landlord may not increase the rent “for any type of tenancy” during the first 12 months, and not “during any 12-month period of the tenancy, in an amount greater than seven percent plus the consumer price index, or 10 percent, whichever is less.” The consumer price index is “the June 12-month percent change in the consumer price index for all urban consumers, all items, for the Seattle area” (59.18.700(1)(c)). The Department of Commerce publishes the result each year: 9.683% between January 1 and December 31, 2026 (its worksheet: ((364.344-354.824)/354.824)+0.07), and 10% between January 1 and December 31, 2027, where the June 2026 index value of 380.849 would give 11.5%, above the 10% ceiling. Commerce's bulletin of July 15, 2026 announced the 2027 figure.

What the cap allows on a $3,000 monthly rent (Department of Commerce percentages, our arithmetic)

Four details matter for an investor. First, the cap does not apply after a tenancy ends: the statute says it “does not prohibit a landlord from adjusting the rent by any amount after a tenant vacates the dwelling unit” (59.18.700(1)(b)), so a lender that tests market rent on a vacant or turned unit is on firmer ground than one that tests a rent above what the in-place lease can reach. Second, RCW 59.18.710(1)(a) exempts a tenancy in a unit whose first certificate of occupancy was issued “12 or less years before the date of the notice of the rent increase,” so new construction is outside the cap. Third, the owner-occupied exemptions (a shared bathroom or kitchen, a single-family owner-occupied residence, a duplex, triplex or fourplex in which the owner lives) do not apply if the owner is a real estate investment trust, a corporation, or a limited liability company with at least one corporate member (59.18.710(2)); a pure individual-member LLC is not named in that list, and we did not test it against case law. Fourth, a landlord who raises rent above the limit without an exemption faces damages of up to three months of unlawful rent plus attorney fees, and the attorney general may seek civil penalties of not more than $7,500 per violation (59.18.700(5)). Both sections expire July 1, 2040.

A worked case (our arithmetic): the median DSCR-type loan of $365,000 at the 7.125% median rate has principal and interest of $2,459.07 a month on a 30-year schedule. If a lender tested rent against principal and interest alone (most also add taxes, insurance and dues), a ratio of 1.0 needs $2,459.07 of rent. A 9.683% increase on an in-place $2,500 rent would be $242.08, to $2,742.08; the same tenant cannot be moved to a $3,000 rent in one step even if the market is there.

Usury does not reach a business-purpose loan

RCW 19.52.080 says that corporations, partnerships, trusts and similar entities, and persons “may not plead the defense of usury nor maintain any action thereon or therefor if the transaction was primarily for agricultural, commercial, investment, or business purposes,” and that the section does not apply to “a consumer transaction of any amount,” which it defines as a transaction “primarily for personal, family, or household purposes.” The DSCR-type loans above sit on the business side of that line, which fits a market with notes up to 12.125%. Our Washington hard money page reads the rest of chapter 19.52 and the licensing exclusions; whether a particular loan is “primarily” for business is a fact question this page does not answer.

How we read the federal file

The Home Mortgage Disclosure Act file lists each loan a reporting lender originates, with its note rate, amount, loan-to-value, purpose, county, lender and term. We downloaded the 2025 Washington file from the FFIEC HMDA Data Browser on October 30, 2026: 175,441 originated loans, all types and occupancies (the browser's occupancy filter did not narrow the download, so we applied it ourselves) and computed everything on this page from the raw file with a saved script (our arithmetic). Of those, 11,886 were investment property and 10,986 had 1-4 units; after removing 1,036 open-end lines of credit (no reverse mortgages) 9,950 remained; 9,867 were conventional (not FHA, VA or USDA) and 9,508 were first liens. Of the 9,508, 7,125 were made for a business purpose, 3,743 of them with no debt-to-income ratio reported (NA). The 1,799 DSCR-type loans are the 30-year-or-longer part of that group. The loan term in HMDA is in months, so 360 means 30 years. Emporium TPO LLC reports some terms in years (30 and 40 in the months field); we counted its 8 such loans in the group as 360 and 480 months, as our Tennessee and Arizona pages do, and the 1,695 short-term loans are counted without Emporium, matching our hard money page. Five loans with a rate of NA or exempt are left out of rate statistics. Percentiles use linear interpolation. County names are from the Census Bureau 2020 county list and lender names from the FFIEC 2025 filer list.

Limits, so you can weigh the numbers:

• HMDA does not mark DSCR loans. Other no-ratio business loans fall into the group, and so do loans to individuals; lenders below the reporting thresholds are not in the file.
• Rates, not prices. Discount points are NA on all 1,799 loans and the prepayment-penalty term on all of them, and the file has no credit score, rent or DSCR ratio.
• Only originated loans. The file we used has no denied or withdrawn applications; see our denial-rate page for that side.
• Small counts. Lender medians rest on 20 to 95 loans; county medians for counties below about 70 loans are direction only.
• Rounded amounts. HMDA loan amounts are rounded to band midpoints, so medians land on multiples of $5,000.
• Names. One brand can be several legal entities; lender names are shown as filed.

What a Washington investor can do with this

1. Get one quote from a bank that files no-DTI business loans. East West Bank's median was 6.8125% and Yakima Federal's 7.25%, against 7.375% to 7.5% for the three wholesale leaders. Ask each in writing for the term, amortization, interest-only option and any balloon; Yakima Federal's loans are mostly 366-month terms.
2. Rank by DSCR loans, not investor loans. Eastside Funding, Rain City, PennyMac, Rocket and the national banks lead the investor list and have almost no DSCR-type loans. Our DSCR versus conventional comparison shows which route a property clears.
3. Check where your county's volume sits. In King County a bank leads; in Yakima and Benton counties a local savings bank does; Pierce and Snohomish go through wholesale brokers (960 loans statewide, 53.4%).
4. Put the rent cap in your pro forma. For an in-place tenant, the most you can raise rent in 12 months is 9.683% in 2026 and 10% in 2027, unless an exemption applies; a vacated unit can be reset. Ask the lender whether it tests market rent or lease rent.
5. Ask for the cost sheet. Points, fees and prepayment penalties are not in HMDA. Compare the rate and the cost together; our DSCR rates page explains the tiers, and DSCR with an LLC covers the entity side.
6. Treat short-term-rental income as unproven. A lender that counts nightly rent has its own rule; read our short-term rental DSCR page before relying on it.

What we could not verify

• Whether Yakima Federal or East West Bank underwrites these loans on rent: no product page describing an investor or DSCR loan was found, so the groups are our proxy only.
• Whether Washington's mortgage broker and consumer lending licences cover a given business-purpose loan to an LLC: the statutes are read on our hard money page; this page did not re-read them.
• Local landlord rules (Seattle just-cause eviction and relocation rules, tenant screening limits), the property tax levy on rentals and the state excise tax on a sale beyond what our linked pages cover: not read here.
• Whether the rent cap applies to a specific unit (certificate of occupancy date, owner-occupancy, entity members): a fact question for an attorney.

FAQ

Related reads: Tennessee, Arizona and Colorado DSCR pages use the same federal data, and the Washington hard money page reads the short-term side.

Loan-level data: FFIEC/CFPB HMDA Data Browser, originated loans for Washington, 2025, downloaded October 30, 2026 (the request URL is in the data file; the script and its output are saved with our working files); lender names from the FFIEC 2025 filer list; county names from the Census Bureau 2020 county list; Washington sources: Revised Code of Washington sections 59.18.700, 59.18.710 and 19.52.080 (app.leg.wa.gov, read October 30, 2026) and the Washington Department of Commerce HB 1217 landlord resource center and its July 15, 2026 bulletin. All counts, percentiles, medians, shares and payment figures are our arithmetic. This is analysis of public documents, not investment, legal or tax advice, and not a loan offer.