2026 STR Investor Playbook
How lenders actually underwrite Airbnb and VRBO income — AirDNA, actuals, and the market rules that move leverage.
2026 Credit & Leverage Matrix
Published STR Underwriting Guidelines
| Income Documentation | Max Purchase LTV | Max Cash-Out LTV | Revenue Haircut | Min Normalized DSCR | Rate Band |
|---|---|---|---|---|---|
| 12+ Mo Airbnb/VRBO Actuals | 80% | 75% | 100% of Net Host Payouts | 1.15x | 6.625% – 7.250% |
| AirDNA Rentalizer (60%+ Market Score) | 75% | 70% | 85% of Projected Gross | 1.20x | 6.875% – 7.500% |
| Short-Term Appraisal Schedule (1007 STR) | 75% | 70% | 90% of Appraiser STR | 1.15x | 6.750% – 7.375% |
Underwriting Chapters & Desk Rules
How STR Revenue Is Normalized into DSCR
Short-term rentals carry higher gross revenue than long-term leases but also incur platform fees, turnover cleaning, and seasonal troughs. When underwriting AirDNA projections on an acquisition, we apply a standard 15%–20% platform/management adjustment and test the remaining net monthly revenue against full PITIA.
Municipal Permit & HOA Compliance Verification
Underwriting checks local municipal STR ordinances and HOA CC&Rs upfront. Properties in by-right vacation zones or holding transferable STR permits qualify for full 75%–80% leverage.
Real Deal Study · Pigeon Forge, TN
Smoky Mountains Luxury Cabin Refinance — $385,000 DSCR Cash-Out
75% LTV · 1.64x STR DSCR · 6.875% Fixed
Underwrote 12 months of trailing Airbnb and direct-booking payouts totaling $94,200 gross revenue. Closed cash-out refinance in 14 days.