Back to all calculators

DSCR Calculator

Calculate DSCR with a guided NOI workflow and flexible debt service assumptions.

Calculator Inputs

1. NOI Setup

$
$
%
%

Typical expense ratio: 30%-50%.

NOI is derived as: Effective Gross Income - Operating Expenses.

2. Debt Service

$
$
%
Years

3. Target Threshold

Typically lenders look for at least 1.25x DSCR, but requirements vary by lender and asset type.
x

Typical lender minimums are often around 1.25x DSCR.

Ready to Analyze

Enter NOI and debt service details to calculate your DSCR.

DSCR
NOI
Debt Service

Why Use This Calculator

Calculate debt service coverage ratio using direct debt service or loan-derived payments, with lender threshold guidance. Use this as a decision tool, then compare assumptions to real operating data over time.

Keep DSCR lender-ready across your portfolio.

Track NOI and debt service in Abode to maintain DSCR compliance and refinance readiness.

Frequently Asked Questions

What DSCR do lenders usually want?

Many lenders target 1.20 to 1.25 or higher, but requirements vary by lender, product, and property type.

Can I calculate debt service from loan inputs?

Yes. You can derive annual debt service from loan amount, rate, term, and loan type.

What if DSCR is below 1.0?

A DSCR below 1.0 means NOI does not fully cover debt service under current assumptions.

Key Terms (Plain English)

NOI

Net operating income available to cover debt after operating expenses.

Example: NOI is typically derived from rent, other income, vacancy, and operating costs.

Debt Service

Total annual principal and interest payment obligation.

Example: In this calculator, debt service can be entered directly or derived from loan assumptions.

DSCR

NOI divided by annual debt service.

Example: A 1.25x DSCR means NOI covers debt service by 125%.