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How to Calculate DSCR: Formula, Example and Max Loan
- Tahir Abbas
- October 29, 2026
How lenders calculate debt service coverage ratio (DSCR): the formula, a worked example, the maximum loan you can support, and ways to improve a low DSCR.
Excel and AI automation, plus free calculators


How lenders calculate debt service coverage ratio (DSCR): the formula, a worked example, the maximum loan you can support, and ways to improve a low DSCR.
How the DSCR formula works for rental property loans, what lenders typically look for, and three worked examples with a failing one and the changes that fix it.