LONE STAR FINANCING

DSCR CALCULATOR

Quickly calculate whether your rental property qualifies for DSCR financing

Calculate DSCR - See If Your Investment Property Qualifies

Use our free DSCR (Debt Service Coverage Ratio) calculator to quickly assess whether your investment property meets common Texas DSCR loan guidelines. Enter key figures to get an instant snapshot of how lenders may evaluate your deal.

DSCR Calculator

Projected Monthly Rent/Lease ($): Loan Amount ($): Interest Rate (%): Loan Term (Years): Monthly Taxes ($): Monthly Insurance ($): Monthly HOA (if applicable) ($):

How Lenders Evaluate DSCR

This calculator provides an estimate of how lenders may view your property’s cash flow.

What this calculator shows

Your estimated Debt Service Coverage Ratio (DSCR)
Based on monthly rent vs. PITIA
A common metric used in DSCR loan underwriting

Important to know

DSCR is not a hard pass/fail
Guidelines vary by lender, credit, and LTV
Some programs allow DSCR below 1.00

View DSCR Loan Requirements See DSCR Guidelines Explained

DSCR guidance: A DSCR of 1.0 generally meets minimum lending requirements. Ratios of 1.25 or higher may qualify for more favorable rates.

Understanding DSCR

WHAT IS DSCR?

Debt Service Coverage Ratio (DSCR) is the metric lenders use to determine whether a property’s rental income is sufficient to cover the mortgage payment and related expenses.

DSCR = Monthly Rental Income ÷ Monthly PITIA

Principal

Interest

Taxes

Insurance

HOA

What DSCR Do Lenders Look For?

General DSCR Guidelines

How Lenders View It

1.20+

Considered strong. Often qualifies for best rates.

1.00–1.19

Usually acceptable for most DSCR programs.

0.70–0.99

May still be financeable with strong one-off, lower LTV, or good credit.

Even if your DSCR is lower, options may still exist. Program guidelines vary.

Example DSCR Calculations

DSCR 1.25

Monthly Rent: $2,500
PITIA: $2,000

DSCR =
$2,500 ÷ $2,000 = 1.25

Most lenders love this — strong positive cash flow.

DSCR 1.00

Monthly Rent: $2,000
PITIA: $2,000

DSCR =
$2,000 ÷ $2,000 = 1.00

Break-even. Still typically financeable with strong LTV and credit.

DSCR 0.90

Monthly Rent: $1,800
PITIA: $2,000

DSCR =
$1,800 ÷ $2,000 = 0.90

Slightly negative cash flow. Some lenders may still consider based on profile and LTV.

Why Work With a DSCR Specialist?

✓

Close on Time

21-day closings. Get to the closing table faster with a team that specializes exclusively in DSCR loans.

Better Rates

We compare 20+ DSCR lenders to help ensure you’re not overpaying for your investment financing.

★

Flexible Underwriting

Options for lower DSCR, unique properties, and complex investment scenarios.

Get Your DSCR Quote – No SSN Required