“Frankly, when you think about our mix of partners, some of them are huge, sophisticated businesses. A lot of them are mom-and-pop shops, so if they do two loans a month and we can take that to four. That’s impactful for them, and, across our whole platform, it’s impactful for us.”
DSCR and AI are growing
Ben Fertig, president of Constructive Capital, discussed the continuing growth of DSCR loans with Mortgage Professional America. He believes liquidity will remain strong in the investor space in 2026, opening the door to a range of investor loan types.
The reason DSCR is primed for another big year is because of the elevated mortgage rates over the past couple of years. Even if current rates plateau, there is still room for investors to move forward due to market liquidity.
“You’ll see some more organic opportunity in DSCR if rates do come down now,” Fertig said. “We’ve had three years of a lot of paper being printed, between 7% and 8.5%. You could potentially see an organic rate-term refi market, paying off existing DSCR loans.
“But it’s not going to need lower interest rates to grow. It could certainly help it, but I think that the market, in terms of the liquidity landscape, in terms of borrower demand, in terms of where the originators are at, is going to be in a good place.”
