DSCR Loan Calculator

How to use this calculator

Enter the property’s monthly market rent, then your loan amount, interest rate, and term. Add annual property tax, insurance, and any HOA dues. The calculator returns your DSCR, the full monthly PITIA payment, your monthly surplus, and the maximum loan you would qualify for at each DSCR a lender might require.

What the metrics mean

• DSCR — debt-service coverage ratio — monthly rent divided by the full monthly payment (PITIA).
• PITIA — principal, interest, taxes, insurance, and association dues; the lender’s full payment figure.
• Surplus / shortfall — rent minus PITIA — positive means the rent more than covers the payment.
• Max loan — the largest loan that still meets a chosen DSCR given the rent and carrying costs.

Frequently asked questions

How is DSCR calculated?

For a 1–4 unit rental, lenders typically use DSCR = gross monthly rent ÷ PITIA (principal, interest, taxes, insurance, and any HOA dues). A DSCR of 1.0 means rent exactly covers the payment.

What DSCR do lenders require?

Most DSCR lenders want a ratio of at least 1.0, and many price their best terms at 1.25 or above. Some programs allow ratios below 1.0 with a larger down payment or rate adjustment.

What is a DSCR loan?

A DSCR loan qualifies the property by its rental income rather than your personal income, tax returns, or employment. It is a common financing tool for real estate investors who want to scale beyond conventional limits.

How much can I borrow with a DSCR loan?

It depends on the rent and your carrying costs. This calculator inverts the math to show the maximum loan amount that keeps you at each target DSCR from 1.0 to 1.25.

Sizing financing on every deal? dre1mery.com pre-screens DSCR and loan fit on incoming leads so you only chase the ones that pencil.