DSCR Loan Calculator for Rental Property
See whether the property's own income qualifies it, before you send a single tax return.
What This Calculator Does
Divides the property's net operating income by its annual debt service to produce the coverage ratio a lender underwrites, then works backward from the rent to show the largest loan that ratio will 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 comparing a DSCR program against a conventional loan.
How It Works
Enter the expected monthly rent, the operating expenses you can support with real numbers — taxes, insurance, association dues, management, vacancy — then the rate and term you have been quoted. The calculator returns the DSCR and the maximum loan amount that ratio permits.
Frequently Asked Questions
What is DSCR?
Debt service coverage ratio is net operating income divided by the annual mortgage payment. A ratio of 1.0 means the property covers its own debt exactly, above 1.0 it produces surplus, and below 1.0 the rent falls short and you cover the gap.
What DSCR do lenders require?
Program minimums typically sit between 1.0 and 1.25. The lower end usually comes with a larger down payment or a higher rate, while stronger ratios open better pricing. Every lender publishes its own matrix, so treat the range as the shape of the market rather than a promise.
Do I need to show my income?
That is the 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. Lenders still verify credit, reserves, and the rent the property actually commands.
Can a foreign national use a DSCR loan?
Yes, and it is the most common financing route for international buyers of Miami investment property precisely because it does not depend on US income documentation. Expect a larger down payment and reserves held in a US account.
Which expenses count in NOI?
Net operating income is rent minus 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 you are measuring against.
How does the rent set my loan amount?
Once the lender fixes the minimum ratio, the loan is whatever payment the net operating income can cover at that ratio. Rate matters as much 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 moves the maximum noticeably.