Real Estate & Mortgage
Debt Service Coverage Ratio (DSCR)
Calculate DSCR to see whether a property's income covers its debt payments.
Your inputs
Change any value to update the result instantly.
DSCR
1.29
NOI
1,80,000
Annual debt service
1,40,000
Monthly cushion
3,333.3333
The entered NOI covers the entered debt service. Lender definitions and minimum requirements vary.
What this calculator does
Shows whether an income-producing property's annual net operating income covers its annual loan payments.
What your result means
A DSCR of 1.00 means property income exactly equals debt service. Above 1.00 indicates a cash-flow cushion; below 1.00 indicates a shortfall. A lender's required minimum is policy-specific and is not decided by this tool.
DSCR when NOI changes (% of entered NOI)
| Period | Input / invested | Calculated value |
|---|---|---|
| 80 | 1,40,000 | 1.0286 |
| 90 | 1,40,000 | 1.1571 |
| 100 | 1,40,000 | 1.2857 |
| 110 | 1,40,000 | 1.4143 |
| 120 | 1,40,000 | 1.5429 |
Formula and working
DSCR = Net Operating Income ÷ Annual Debt Service
- 1
Collect the inputs
Annual net operating income = 180,000; Annual debt service = 140,000
- 2
Apply the formula
DSCR = Net Operating Income ÷ Annual Debt Service
- 3
Result
DSCR = 1.29
Frequently asked questions
Symbols and assumptions
- NOI
- Annual net operating income
- ADS
- Annual principal and interest debt service
- DSCR
- NOI ÷ ADS
- • NOI and debt service cover the same annual period.
- • NOI is entered after operating expenses but before debt service.
Sources and review
Reviewed 2026-09-22 · Next review 2027-09-22
- • It does not model lender adjustments, reserves, taxes, refinancing risk, or future changes in income and costs.
Important limitation
This is an educational estimate based only on the values and formula shown. Verify current rates, rules, units, and professional standards before relying on the result. It is not personalized financial or investment advice.
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