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Researched by the Hard Money Lenders by State team. Updated October 22, 2026. Based on each lender's published information; we did not apply for loans.
What each DSCR ratio means
For rental property loans, DSCR = gross monthly rent / monthly PITIA (principal, interest, taxes, insurance and HOA). The table shows what each band means and how many of the published minimums from the lenders we checked it clears.
| DSCR | What it means | Published minimums met | Lenders |
|---|---|---|---|
| Below 0.75 | Rent covers less than 75% of the payment | 2 of 12 | Easy Street Capital, Griffin Funding |
| 0.75 to 0.79 | Rent covers 75% to 79% of the payment | 4 of 12 | Easy Street Capital, Griffin Funding, New Silver, LendingOne |
| 0.80 to 0.89 | Rent covers 80% to 89% of the payment | 6 of 12 | Easy Street Capital, Griffin Funding, New Silver, Kiavi, LendingOne, CoreVest |
| 0.90 to 0.99 | Rent covers 90% to 99% of the payment | 7 of 12 | Easy Street Capital, Griffin Funding, Upright, New Silver, Kiavi, LendingOne, CoreVest |
| 1.00 to 1.09 | Rent covers 100% to 109% of the payment | 11 of 12 | Easy Street Capital, Griffin Funding, Upright, RCN Capital, New Silver, Kiavi, Express Capital Financing, Lima One Capital, LendingOne, CoreVest, Ternus |
| 1.10 to 1.14 | Rent covers 110% to 114% of the payment | 12 of 12 | Easy Street Capital, Griffin Funding, Upright, RCN Capital, New Silver, Kiavi, Express Capital Financing, Lima One Capital, LendingOne, CoreVest, Ternus, Groundfloor |
| 1.15 and up | Rent covers 115% or more of the payment | 12 of 12 | Easy Street Capital, Griffin Funding, Upright, RCN Capital, New Silver, Kiavi, Express Capital Financing, Lima One Capital, LendingOne, CoreVest, Ternus, Groundfloor |
Minimums from each lender's own DSCR page, read October 22, 2026. Ternus's 1.15 applies to 660 to 679 credit; it asks for 1.00 at 680+. Lenders also weigh credit, loan-to-value and reserves.
Minimum DSCR by lender
How to calculate it
Add the monthly principal and interest, one twelfth of the yearly property taxes and insurance, and any HOA dues. Divide the monthly rent by that total. $2,000 rent against a $1,680.60 payment is 1.19. The DSCR calculator does the math and shows which lenders' minimums you meet.
How much you can borrow at each ratio
Turn it around: for a rental that brings in $1,800 a month with $3,000 in yearly taxes and $1,500 in insurance, at 6.5% over 30 years, the largest loan and the down payment each target ratio allows on a $250,000 purchase:
| Target DSCR | Largest loan | Down payment on a $250,000 price | As % of price |
|---|---|---|---|
| 1.00 | $225,400 | $24,600 | 10% |
| 1.10 | $199,500 | $50,500 | 20% |
| 1.25 | $168,400 | $81,600 | 33% |
Most lenders also cap purchases at 80% of value, so the down payment is at least 20% even when the ratio would allow more.
Which rent counts
Lenders do not all use your lease. Kiavi uses the lower of 110% of the appraised market rent and the lease rent; Easy Street Capital uses the appraisal's market rent; Upright accepts in-place or market rent. A lender that uses market rent can give you a lower ratio than your lease suggests. See every lender's rule.
DSCR in commercial lending
Banks and commercial lenders use a different version: net operating income (rent minus vacancy and operating expenses) divided by annual debt service. The rental DSCR loans on this site use gross rent over PITIA instead, so a 1.00 here is not the same as a 1.00 in a commercial loan analysis. Ask which definition a lender uses.
Not financial advice. Every rate and term here is the lender's own published figure on October 22, 2026; confirm current terms with the lender before you apply.
Related guides
Frequently asked questions
What is a good DSCR ratio?
1.00 or higher means the rent covers the full payment. Among the 13 lenders we checked, a 1.15 ratio clears every published minimum; at 1.00 you clear all but Groundfloor's 1.1 and Ternus's 1.15 for 660 to 679 credit.
What does a DSCR of 1.25 mean?
The rent is 25% more than the monthly payment including taxes, insurance and HOA. It clears every published minimum among the lenders we checked.
Can a DSCR be below 1?
Yes. It means the rent does not cover the full payment. Some lenders still lend: New Silver and LendingOne publish minimums as low as 0.75, Kiavi and CoreVest 0.8, and Upright 0.90; Easy Street Capital and Griffin Funding publish no minimum.
How is DSCR calculated for a rental property loan?
Gross monthly rent divided by monthly principal, interest, property taxes, insurance and HOA dues (PITIA). Each lender decides which rent figure to use.
Is the DSCR on a rental loan the same as in commercial lending?
No. Commercial lenders usually divide net operating income by annual debt service; rental DSCR loans divide gross rent by PITIA.