DSCR Loan Calculator for Rental Property
Some loans underwrite you. This one underwrites the property — find out whether it passes.
What This Calculator Does
Takes net operating income, divides it by annual debt service, and produces the coverage ratio a lender will underwrite. From there it works backward from the rent to the largest loan that ratio can carry.
Who Is This For
Investors buying rental property in Miami and South Florida, foreign nationals with no US income to document, self-employed buyers whose returns understate their cash flow, and anyone setting a DSCR program against a conventional loan.
How It Works
Enter the monthly rent you expect, the operating expenses you can back with real figures — taxes, insurance, association dues, management, vacancy — then the rate and term you have been quoted. Out comes the DSCR and the maximum loan that ratio permits.
Frequently Asked Questions
What exactly is DSCR?
Debt service coverage ratio is net operating income divided by the annual mortgage payment. At 1.0 the property covers its own debt exactly; above 1.0 it produces a surplus; below 1.0 the rent falls short and the gap is yours to fill.
What ratio do lenders want?
Program minimums usually fall between 1.0 and 1.25. The lower end tends to come with a larger down payment or a higher rate, while stronger ratios unlock better pricing. Each lender publishes its own matrix, so read the range as the shape of the market rather than a guarantee.
Will I have to document my income?
That is the whole point of the product. A DSCR loan underwrites the property rather than the borrower, so tax returns, W-2s, and debt-to-income ratios generally stay out of the file. Credit, reserves, and the rent the property genuinely commands are still verified.
Is it open to foreign nationals?
It is, and it is the most common financing route for international buyers of Miami investment property precisely because US income documentation is not part of it. Expect a larger down payment and reserves held in a US account.
What belongs in NOI?
Net operating income is rent less operating costs: property taxes, insurance, association dues, management, maintenance, and a vacancy allowance. The mortgage payment is not an operating expense — it is the debt service the income is being measured against.
How far does the rent stretch the loan?
Once the lender fixes a minimum ratio, the loan becomes whatever payment the net operating income can support at that ratio. Rate weighs as heavily as rent: with benchmark 30-year rates near 6.6-6.7% in mid-2026 and investor programs priced above that benchmark, a small rate difference shifts the maximum noticeably.