Non-Recourse Loan
A loan secured only by the property itself, with no personal guarantee. If the borrower defaults, the lender's only remedy is foreclosure on the property. Available on DSCR at 60–65% LTV with 720+ FICO and $1M+ loan amounts; pricing runs 0.50–1.00% above standard DSCR.
Why it matters on a DSCR loan
Non-recourse structures appeal to investors who want true asset-level risk isolation, but the trade-off is real: lower leverage, higher credit standards, larger loan minimums, and a pricing premium. Most DSCR borrowers accept a personal guarantee instead because the standard PG structure delivers meaningfully better terms. Consider non-recourse mainly when partners, estate planning, or institutional capital require it — and confirm the reduced LTV still leaves the deal cash-flowing.
Related terms
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DSCR Calculator Get a QuoteReviewed by Arin Baghermian, Broker Owner — NMLS #1220456 · Last reviewed July 2, 2026 · DSCR Capital Partners is a brand of UTM Financial, LLC (NMLS #2591548).