What is the Definition of Debt Service Coverage Ratio?

Debt Service Coverage Ratio

Noun

Definition: Measures a mortgaged propertys ability to cover monthly payments defined as the ratio of net operating income over the mortgage payments. A DSCR of less than 1 .0 means that there is insufficient cash flow generated by the property to cover required debt payments.

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DSCR Calculator - Calculate Debt Service Coverage Ratio


Calculate your debt service coverage ratio for commercial loans. Use our calculator to calculate the NOI needed for a selected DSCR.

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