DSCR Rental Property Calculator

Debt service coverage ratio is the property's monthly rent divided by its monthly payment. A DSCR of 1.25 means the rent is 125% of the payment. Anything above 1.00 means the property covers itself.

Here it does. This calculator divides rent by full PITIA: principal, interest, property tax, insurance, and HOA. Nearly every DSCR lender underwrites that way. A few use principal and interest alone, which produces a higher ratio on the same property, so check which one a quote is based on before comparing two offers.

1.00 is the common floor and 1.25 is where pricing improves. Programs exist below 1.00, and some down to no ratio at all, with more down payment and reserves. The ratio drives the rate as much as it drives approval.

No. There are no tax returns, W-2s, or debt-to-income calculations. The property qualifies on its own rent, which is why self-employed investors and anyone with heavy write-offs use them. Credit score, down payment, and reserves still matter.

The lower of the in-place lease and the appraiser's market rent schedule (Form 1007) on most programs. A lease above market will not carry a file on its own, so use market rent here if you are unsure.