Free tool · Investors
DSCR calculator: does the rent cover the payment?
Enter the rent and the payment (or loan amount and your quoted rate) plus taxes, insurance, and HOA to see the ratio DSCR lenders look at.
Everything runs in your browser. Nothing you type is sent anywhere or saved. Want me to check real numbers? Send me your Loan Estimate.
What is DSCR?
DSCR, or debt service coverage ratio, is the property's monthly rent divided by its monthly payment including principal, interest, taxes, insurance, and HOA (PITIA). The higher the ratio, the more comfortably the rent covers the payment. DSCR loans use this ratio to qualify investors instead of personal income.
Learn more: DSCR investor loans.
What DSCR do lenders want?
Each lender sets its own minimum, and it can depend on credit, down payment, and property type. Run your numbers here, then ask me what applies to your deal. I do DSCR loans in Texas and Tennessee and in states where this business-purpose loan doesn't require a personal license.
For illustration only. Not a commitment to lend, a Loan Estimate, or an offer of credit. Your actual figures depend on your full application, credit approval, property, and the loan program. John Stafford NMLS #2470539 | GoRascalJohn powered by GoRascal Inc. NMLS #2072896. Equal Housing Opportunity.
Common questions
What rent do lenders use for DSCR?
Usually the lower of the lease or the appraiser's market rent, but it varies by lender and whether the property is already rented.
Does DSCR include property management fees?
The standard DSCR uses PITIA and doesn't subtract management or maintenance. Some lenders differ; your own cash flow analysis should include them.
Is DSCR available in my state?
I'm personally licensed in Texas and Tennessee, and I also do DSCR loans in states where this business-purpose loan doesn't require a personal license. If your rental is somewhere else, reach out anyway, because through GoRascal there may still be a way to help.
Free Loan Estimate review
Got a Loan Estimate? Send it to me.
Send me your Loan Estimate and I'll look it over myself. I'll tell you straight what looks off, what looks fine, and whether I can do better. If your offer is solid, I'll say so.
Before you send it: cover your Social Security number and loan number. Texas and Tennessee loans. John Stafford NMLS #2470539 | GoRascalJohn powered by GoRascal Inc. NMLS #2072896.