Free Tool

DSCR Calculator

Calculate your Debt Service Coverage Ratio and maximum loan amount instantly. No email required.

Transaction Type

Property & Loan Details

$500$15,000
$50,000$3,500,000
3.000%14.000%
15
20
25
30
35
40
$0$25,000
$0$12,000
$0$1,500
$50,000$5,000,000
Using default score
700

Your credit score directly impacts your max LTV and pricing

600
620
640
660
680
700
720
740
760
780
800
700 is the default. Enter your actual score — 720+ unlocks up to 85% LTV on purchases.
01.01.252.5
0.93

DSCR

Below 1.0 — Qualifies with lower leverage

Results based on default 700 FICO — set your actual credit score for accuracy

Maximum Loan Amount

DSCRMaximum at DSCR ≥ 1.0
Based on 700 FICO80% Purchase

$257,431

Max Loan$257,431
Requested Loan$280,000
Difference-$22,569

To reach DSCR 1.0 at your current loan:

Increase rent by +$158/mo (to $2,358/mo)

Or reduce loan to $257,431

ALTAsset Depletion · Bank Statement · P&L
Max LTV: 85%85% Purchase

$297,500

$350,000 × 85%

Max Loan$297,500
Requested Loan$280,000
Difference+$17,500

Alternative qualifying unlocks $40,069 more leverage on this deal

Monthly Breakdown

Gross Rent$2,200
Principal & Interest-$1,958
Taxes-$267
Insurance-$133
Total PITIA$2,358
Net Cash Flow-$158/mo

Improve Your DSCR

  • Increase rent or add income (ADU, short-term rental)
  • Larger down payment to reduce loan amount
  • Interest-only period lowers PITIA
  • Shop insurance for lower premiums

Alternative Qualifying Strategies

With 700 FICO, you still have strong access to alternative strategies up to 85% LTV:

B

Plan B: Asset Depletion

If you have liquid assets (savings, investments, retirement), you can qualify using asset depletion to maintain maximum leverage. No income documentation needed.

Good credit — qualifies for asset depletion with most lenders.

85% Purchase
C

Plan C: Bank Statement or P&L Loan

Qualify using 12–24 months of bank statements or a CPA-prepared P&L statement. Business purpose — the mortgage does not appear on your personal credit reports.

Bank statement and P&L programs widely available at this score range.

85% Purchase
Business purpose — does not report on personal credit

This deal may work — the right lender structure matters

I’ll match your scenario to the best-fit DSCR lenders, catch deal-killers early, and give you clarity on real terms — not a generic rate sheet.

  • Matched to lenders for your exact DSCR + credit + loan size
  • Deal-killers caught before you apply
  • Business purpose — won’t show on personal credit

Free review for active investment deals. No obligation.

Luke Roasst | NMLS# 2311093

What Is DSCR?

The Debt Service Coverage Ratio measures whether a rental property’s income covers its debt obligations. Lenders use DSCR to qualify investment property loans without requiring personal income documentation like tax returns or W-2s.

A DSCR of 1.0 means the property’s rent exactly covers PITIA (principal, interest, taxes, insurance, and association dues). At 1.0 or above, borrowers can access up to 85% financing on purchases and 85% on rate/term refinances — but the exact LTV depends on your credit score and loan amount.

Even below a 1.0 DSCR, investors still qualify at lower leverage. Alternative strategies like asset depletion, bank statement, or P&L loans can restore full leverage while keeping the loan business-purpose — meaning it won’t appear on your personal credit reports.

Have questions? Let’s talk about your deal →

Built by WIRMS · Fintech tools for real estate professionals · wirms.com