HOW TO USE THIS CALCULATOR

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While all lenders advertise the minimum down payment required to qualify, the actual down payment is determined by the borrower's ability to make the required monthly payments.  On investment properties, that amount is determined by the rents collected.  This calculator compares DSCR Loan products to standard commercial multifamily loan products offered by institutional and CMBS lenders.  DSCR loans allow for lower down payments because they are based on gross rents but often come with higher interest rates whereas institutional lenders start with lower interest rates but require DSCR ratios to be calculated using NOI, leading to higher down payment requirements.

 

For 2-8 Unit Buildings, I believe our DSCR product combined with intelligent structuring can present the best of both worlds.

 

This calculator is not for valuing whether a property is a good investment, just for calculating what it would take to get approved for a loan from an underwriter's perspective.

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If you'd like to learn more, please contact me using the form below.