What is DSCR?
Debt Service Coverage Ratio measures how well a property's rental income covers its debt obligations. A DSCR of 1.0 means income exactly covers the mortgage. Most lenders require 1.0 or higher — the stronger the ratio, the better your loan terms. Some programs allow below 1.0 with compensating factors.
Property Income
Actual or projected monthly rental income
Typically 5–10% for most markets
Loan Details
DSCR loans typically require 20–25%
Monthly Expenses
Monthly amount (annual ÷ 12)
$
Auto-calculated from loan details
Your DSCR Results
DSCR Ratio
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Enter values and calculate
Monthly Payment (P&I)
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Net Operating Income
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Total Monthly Debt
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DSCR Threshold
0.00 / 1.20 minimum
Lender Requirements Check
DSCR ≥ 1.0
Most lenders require at minimum 1.0 — stronger ratios unlock better pricing
Down Payment ≥ 20%
DSCR loans typically require 20–25% down
Loan Amount ≤ $3,000,000
Standard DSCR programs cap at $3M (some go higher)
Positive Cash Flow
Property income should exceed all monthly obligations
Wynee Bays · Broker & Owner · NMLS #887778
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