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Start here · The flagship guide

The STR Financing Debt Playbook

How to use debt as a business tool on a short-term rental — how leverage changes the economics, how lenders evaluate you, and how to choose (or decline) financing.

New to Builders Finance? Start here. This guide introduces the whole Financing system, and links to every supporting guide you'll need as you put it in place.

Reading time15 min
Edition2026.1
AuthorMatt Nunn
Living reference — kept current as rules, tools, and operating practices change.
What it covers
  • How leverage amplifies both directions
  • How lenders treat STR income
  • DSCR and what 'good' means
  • When not to borrow at all
Read the Debt Playbook →

Start with the flagship above — everything else in Financing supports it.

Supporting guides

The guides, in order

In dependency order — Understand the debt before you shop for it.

01
Concept

How Debt Changes the Economics of an STR

Leverage, cash-on-cash amplification, and the risk it adds.

02
Qualifying

How Lenders Evaluate Short-Term Rentals

Income treatment, DSCR, reserves, credit.

03
Products

The Loan Landscape

DSCR vs. conventional vs. portfolio vs. commercial.

04
Decide

Should You Borrow — and How?

The decisions leverage comes down to.

Browse all Financing guides chronologically →
Decision guides

When there's a real choice

Judgment calls, not how-tos — each weighs the options for your situation.

Decision Guide

Should I Pay Cash or Finance My STR?

Liquidity, opportunity cost, and risk — the flagship capital decision, with a calculator.

Work through it →
Decision Guide

When Should I Avoid Taking on More Debt?

The trust piece: leverage vs. liquidity vs. paying down what you owe.

Work through it →
Templates & tools

The tools that do the most

The guide teaches; the tool implements.

Tool

Cash-vs-Finance Calculator

Compare paying cash against financing across cash-on-cash and liquidity.

Pairs · Pay Cash or Finance?
Tool

DSCR Calculator

The income cushion a lender reads before approving.

Pairs · Good DSCR?
The Informed Operator

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