DSCR Loan Calculator
Squirrel Funding’s DSCR loan calculator offers a streamlined analysis of a property’s cash flow, assisting real estate investors, brokers, and borrowers in assessing income-generating potential. DSCR loans finance short-term or long-term rental properties and allow borrowers to qualify based on expected cash flow rather than personal income.
Ready to finance your rental property?
Get a quick quote for your DSCR scenario. Apply online in minutes — our team will help you turn investment opportunity into closed funding.
Apply at apply.squirrelfunding.comDisclaimer
This calculator is for estimation purposes only. It is a basic calculator using information entered by you which may differ from the actual terms at the time the loan terms are set. The calculator does not include fees and costs that may apply to a loan, and it does not account for all loan programs. Results may vary and will be subject to individual program guidelines and limits. Qualification, rates, and payment will vary based on timing and individual circumstances. The results do not reflect an official mortgage loan offer or a commitment to lend. Please contact Squirrel Funding for more information regarding your specific needs and situation.
FAQ’s
What is DSCR?
Debt service coverage ratio (DSCR) is a measurement of a property’s expected cash flow to determine ability to repay a mortgage loan. DSCR loans let investors qualify based on the rental property’s income rather than personal W-2 income.
How debt service coverage ratio (DSCR) is calculated?
The debt service coverage ratio (DSCR) is the ratio of a property’s cash flow to its mortgage debt. Squirrel Funding includes principal, interest, taxes, insurance, and HOA fees in the mortgage debt (PITIA). The ratio is calculated by taking the expected rental payment and dividing it by PITIA (Rent ÷ PITIA = DSCR), displayed here as a percentage.