Short-Term Rental Financing in St. Louis, MO

The St. Louis ratio math on this product

Gross nightly revenue in St. Louis models to about $1,925/month across a full year. Lenders do not credit that dollar-for-dollar — a 28% haircut for vacancy, cleaning, platform fees and management leaves $1,386 of creditable income. Against a PITIA of $1,201, that is an estimated DSCR ratio of 1.15x. That clears the 1.0 minimum most DSCR shelves require for base pricing, but the cushion is thin. Stress-test a tax reassessment and an insurance renewal before you write the offer.

Underwriting notes specific to STR files: plan on 25% down as the floor, six months of PITIA in reserves, and either twelve months of Airbnb/VRBO earnings statements on the subject property or a third-party market revenue study for a property with no operating history. Short-term rental activity is moderate here and local rules vary by zoning district. Verify the permit status of the exact address before you go hard on earnest money — an unpermitted STR is an unfinanceable STR on this product.