Investment property loans that qualify on rent.
In Massachusetts, a DSCR loan finances a rental on the strength of its rent instead of your tax returns. HUD puts the 2 bedroom Fair Market Rent for the Boston metro at $3,008 a month (HUD User). Pillar Mortgage Group (NMLS 2700076) arranges DSCR loans in Massachusetts up to $5 million.
Facts checked November 1, 2026. Not a commitment to lend.
DSCR loans by state
We lend DSCR in 35 states. Pick yours.
Primary sources only. Use these to sanity check any Massachusetts rental before you write an offer.
| Massachusetts fact | Value | Source |
|---|---|---|
| Security instrument | Mortgage with statutory power of sale | malegislature.gov |
| Foreclosure | Nonjudicial | M.G.L. c.244, 14 |
| Transfer and recording taxes | Deeds excise statute rate is $2 per $500 of consideration ($1.50 per $500 in Barnstable County) | M.G.L. c.64D, 1 |
| Security deposit | First month's rent | M.G.L. c.186, 15B(1)(b) |
| Notice for unpaid rent | 14 days written notice to quit; a tenant at will with no similar notice in the prior 12 months can cure by paying in full within 10 days of receiving the notice | M.G.L. c.186, 12 |
| Rent control | State law | M.G.L. c.40P, 4 |
| LLC formation fee | $500 | sec.state.ma.us |
| Median listing price | $714,250 in September 2026 ($753,425 in September 2025) | Realtor.com via FRED |
| HUD 2 bedroom Fair Market Rent | $3,008, The Boston metro | HUD User |
Full walk through: how DSCR is calculated.
Nine rules that open more Massachusetts deals.
Loan amount
Up to $5M
Credit
660 and up
Down
20 to 25%
Vesting
LLC ok
Guidelines summarized; subject to program terms, property and borrower eligibility. Not a commitment to lend. Compare with typical DSCR programs.
Before you run a Massachusetts deal, anchor the rent to public benchmarks instead of a listing agent's guess.
Median listing price
$714,250
September 2026, down 5.2% from $753,425 in September 2025
Quick math (computed from the figures above): On a Massachusetts home at the Massachusetts median of $714,250, 25% down comes to $178,562, leaving a $535,688 loan. A year of rent at the Fair Market Rent for the Boston metro ($3,008) is $36,096, or 5.1% of that price. A year of rent at the Fair Market Rent for the Worcester metro ($2,043) is $24,516, or 3.4% of that price.
Fair Market Rent is a HUD benchmark, not an appraisal.
The rent field starts at the HUD 2 bedroom Fair Market Rent for the Boston metro. HUD also lists the Boston metro at $3,008 and the Worcester metro at $2,043. Swap in your lease or appraisal rent, then add your quoted rate. For a price reference, the median Massachusetts listing was $714,250 in September 2026.
See how a rental's income stacks up against its full monthly payment. Your numbers stay in your browser.
Enter rent, price and your quoted rate to see your DSCR.
Loan amount (L) = Price × (100 minus Down %) ÷ 100
P&I (30 year fixed) = L × r × (1 + r)^360 ÷ ((1 + r)^360 minus 1), where r = annual rate ÷ 100 ÷ 12
P&I (40 year interest only) = L × r
PITIA = P&I + Tax ÷ 12 + Insurance ÷ 12 + HOA
DSCR = Monthly rent ÷ PITIA
Rent needed for a target DSCR = Target × PITIA
Estimates only. Not a loan offer. Rates and terms vary by lender, property and borrower. Company NMLS #2700076. Example values are illustrations, not a quote.
Hypothetical PITIA of $1,775 (P&I $1,400, taxes $250, insurance $125), real Massachusetts rents. Not a quote or a rate.
Tell us about the property and the rent. We will tell you straight whether it qualifies and what it takes.
Investors from any state can buy in Massachusetts.
No commitment · Under 2 minutes
We will reach out shortly to run your numbers.
Where Massachusetts investors are buying, and the local rules that apply to rentals there.
City rules change. Confirm with the city and your HOA before you buy, and ask us how your lender counts short term rental income.
A DSCR loan underwrites the rent, so the rules that govern collecting it matter. Here is what Massachusetts law says, with the statute for each.
| Topic | The rule | Citation |
|---|---|---|
| Security deposit cap | First month's rent | M.G.L. c.186, 15B(1)(b) |
| Deposit return deadline | 30 days after termination of occupancy | M.G.L. c.186, 15B(4) |
| Notice nonpayment | 14 days written notice to quit. A tenant at will with no similar notice in the prior 12 months can cure by paying in full within 10 days of receiving the notice. | M.G.L. c.186, 12 |
| Notice end month to month | Notice equal to the rent payment interval or 30 days, whichever is longer | M.G.L. c.186, 12 |
| Rent control | State law: no city or town may enact, maintain or enforce rent control of any kind (narrow exceptions for subsidized housing). | M.G.L. c.40P, 4 |
Not legal advice.
Use the actual tax bill, not the seller's homestead bill, when you run a Massachusetts rental.
Who closes your loan, which security instrument you sign and what the state charges to record it.
What it costs to form and keep an LLC in good standing with the Massachusetts Secretary of State.
The Massachusetts rules that touch your lease, your closing and your entity.
Documents: contract, lease or rent schedule, bank statements, LLC papers, insurance quote. No tax returns. Details.
Massachusetts is highlighted. We also lend DSCR in New Hampshire, Rhode Island, Connecticut and Maine next door, and in 30 more states. Tap a gold state to open its guide.
Straight answers for investors buying or refinancing rentals in Massachusetts.
PMG guidelines summarized; subject to program terms, property and borrower eligibility. Not a commitment to lend.
Book a free callInvesting across state lines? We lend DSCR in these neighbors of Massachusetts too.
Primary sources, each with the date checked. PMG program facts come from Pillar Mortgage Group.
Send the Massachusetts property and rent. We run the ratio and lay out terms before you offer.
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We will reach out shortly to run your numbers.
Pillar Mortgage Group, LLC is an Equal Housing Lender, doing business in accordance with the Fair Housing Act and Equal Credit Opportunity Act. Not a commitment to lend.
Company NMLS# 2700076 | Arizona License MB-2009671 | View NMLS Consumer Access