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DSCR Calculator
PITIA = principal + interest + property taxes + insurance + HOA/association dues.
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How lenders read your number
- 1.25 or higher — a strong deal. Expect the best DSCR pricing and the widest lender choice.
- 1.00 – 1.24 — the rent covers the payment; most DSCR lenders are comfortable here.
- Below 1.00 — negative coverage. Still closeable with some lenders, but expect a higher rate and a larger down payment. Sometimes a bigger down payment alone lifts the ratio above 1.0 by shrinking the payment.
Not sure what the property will rent for? On a purchase, the appraiser's market-rent opinion (Form 1007) typically sets the number, so a realistic local comp is a good stand-in. For short-term rentals, many lenders use 12 months of platform statements instead. Full details in our DSCR loan guide.