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Compute the debt service coverage ratio for a long-term or short-term rental property. Inputs come from you — we don’t assume a rate or estimate a payment. Short-term rental income is reduced by the mandatory 20% expense factor straight from the DSCR program guidelines.
Loan amounts $100K to $3.5M · credit scores from 640 · up to 80% LTV on purchase at the top FICO tiers (subject to underwriting guidelines).
Housing expense components (Total PITIA)
Enter all five numbers to calculate
Provide monthly rent and every PITIA component to see your DSCR.
Formula: DSCR = Gross Rents ÷ PITIA
See full eligibility on the DSCR loan requirements page (subject to underwriting guidelines).
Monthly gross rents (from the FNMA 1007/1025 market-rent form or the executed lease, per the DSCR program) divided by PITIA — principal, interest, taxes, insurance, and any association/HOA dues. Interest-only loans use ITIA instead.
DSCR = Gross Rents ÷ PITIA
Short-term rental income is documented on a 12-month average and reduced by a mandatory 20% expense factor (advertising, furnishings, cleaning) per the DSCR guidelines. Accepted documentation includes an STR analysis form, third-party rental statements, the most recent 12 months of bank statements, or an AIRDNA Rentalizer report meeting the program criteria (3 comparables, Market Score ≥ 60).
DSCR = (Gross Rents × 0.80) ÷ PITIA
Plain-English answers grounded in our published DSCR program guidelines. For the full matrix and edge cases, see the DSCR loan requirements cornerstone.
Total Quality Lending's DSCR matrix requires a DSCR of 1.00 or higher to access the standard tier (up to 80% LTV on purchase at the top FICO bands). A DSCR below 1.00 is allowed at reduced LTV, with a 660 FICO floor and lower maximum loan amounts. Subject to underwriting guidelines.
Short-term rental DSCR equals (Monthly Gross Rents × 0.80) ÷ PITIA. The 20% expense factor is mandatory per program guidelines — it accounts for advertising, furnishings, and cleaning costs. STR gross rents are documented on a 12-month average to account for seasonality. If actual expenses exceed 20%, the actual expense factor is used; if lower, the 20% minimum still applies.
DSCR loans from Total Quality Lending start at a 640 FICO floor for the DSCR ≥ 1.00 tier — purchase and rate/term refinance only at the 640 band, with no cash-out and reduced LTV. A 660 FICO is required for cash-out refinance, and 700+ FICO is required for the DSCR < 1.00 tier in most loan-amount bands.
DSCR loan amounts range from $100,000 to $3,500,000. Loans under $150,000 are capped at 70% LTV purchase and 65% LTV refinance, and require a DSCR of at least 1.00.
Yes. Interest-only requires a 680+ FICO and is capped at 75% LTV purchase, 75% rate/term, and 70% cash-out. The 40-year ARM term is eligible with the interest-only feature. For IO loans, DSCR is calculated as Gross Rents ÷ ITIA (interest, taxes, insurance, and association dues).
Single-family (attached and detached), 2–4 unit properties, and condominiums. Condo-hotels qualify with a 75% LTV purchase / 65% refinance cap and a $1,500,000 max loan. Rural properties qualify at up to 75% LTV purchase / 70% refinance. Acreage is permitted up to 5 acres.
Two months of PITIA is the standard reserve requirement. Loans over $1.5M require 6 months of PITIA; loans over $2.5M require 12 months. Cash-out refinance proceeds may be used to satisfy the reserve requirement on this program.
Yes, with restrictions. First-time investors (no prior rental/investment ownership) must meet: minimum 700 FICO, DSCR above 1.00, one-unit property only, at least 36 months from any credit event, and must already own a primary residence. First-time homebuyers (who do not own a primary) are not eligible on DSCR.
Already have a sense of the math? Look up the program edges or talk to a strategist.
The full credit-tier matrix, reserves, seasoning, property-type rules, and STR documentation requirements.
Find DSCR availability, overlays, and rental-market context for your state.
The plain-English definition of debt service coverage ratio and how lenders use it.
Get a fast DSCR quote and talk to a real human who invests in real estate too.