Your scenario
DSCR = monthly rental income ÷ monthly property obligations (principal & interest + taxes + insurance + HOA)
Market rent or in-place lease; underwriting typically uses an appraiser's rent analysis.
This is not a quote; test any rate.
Yearly amount; we divide by 12.
Yearly amount; we divide by 12.
Leave blank if none.
Results
Fill in the fields to see your result; it updates as you type.
This calculator is for educational purposes only and does not constitute a loan approval, pre-qualification, commitment to lend, or quote of rates or terms. Actual qualification is determined by full underwriting, including an appraisal with a market rent analysis (Form 1007) or executed lease where applicable. Program guidelines vary by scenario. Loancutters Inc. dba Evoque Lending, NMLS #337415, CA DRE #01521538. Equal Housing Opportunity.
How to read the result
DSCR; debt service coverage ratio; is the property's monthly rent divided by its full monthly payment: principal and interest plus taxes, insurance, and any HOA dues (PITIA together). A ratio above 1 means the rent more than covers the payment; below 1 means the property doesn't carry itself on rent alone and the gap comes out of pocket.
The colored chip next to your result is orientation, not a decision. It reflects the working bands configured for this tool, and the thresholds different programs actually apply vary widely. Treat the ratio as a conversation starter: the same property can land differently depending on payment structure, rent documentation, and the rest of your profile.
What lenders actually use
Underwriters don't take a rent estimate at face value. For long-term rentals, they typically rely on an appraiser's market rent analysis (Form 1007) or an executed lease; whichever the program specifies; and short-term rental income is often documented through platform statements or specialized reports. Taxes and insurance are verified rather than estimated, and the qualifying payment itself can be calculated differently from program to program, especially for interest-only structures.
That's why this calculator asks you to enter your own rate and lets you edit every figure: it's a sandbox for understanding the mechanics, not a replica of any one program's underwriting. Guidelines vary; contact us to see how your scenario is likely to be evaluated.
Common questions
What rent figure should I use?
Use realistic market rent for the property; what it would lease for today, not a hopeful number. Underwriting will anchor to an appraiser's rent analysis or your executed lease, so a conservative input gives you a more honest preview.
My ratio came out below 1. Is the deal dead?
Not necessarily. Some scenarios work with compensating factors, a different payment structure, or alternatives like no-ratio and bridge options. Guidelines vary widely; it's worth a conversation before you write the deal off.
Does my personal income matter for a DSCR loan?
The defining feature of DSCR programs is that the property's rent does the qualifying work rather than your personal tax returns. Credit, reserves, and experience still factor into the overall picture, but the ratio is the centerpiece.
Why do I have to type in an interest rate?
Because a pre-filled rate would look like a quote, and this tool isn't one. Pricing depends on the full scenario. Enter any rate you want to stress-test; trying a few different rates is actually a good habit.