DSCR. A measurement of a property's ability to generate enough revenue to cover the cost of its mortgage payments. It is calculated by dividing the net operating income by the total debt service. For example, a property with a net operating income of $50,000 and a total debt service of $40,000 would have a debt service ratio of 1.25, meaning that it generates 25% more revenue than required to cover its debt payment.
Related information about debt service coverage ratio:
- Debt service coverage ratio - Wikipedia, the free encyclopedia
The debt service coverage ratio (DSCR), also known as "debt coverage ratio," ( DCR) is the ratio of cash available for debt servicing to interest, principal and ...
- Debt-Service Coverage Ratio (DSCR) Definition | Investopedia
In corporate finance, it is the amount of cash flow available to meet annual interest and principal payments on debt, including sinking fund payments.
- Debt Service Coverage Ratio
The debt service coverage ratio (DSCR) has different interpretations in different fields. In corporate finance, for example, the debt-service coverage ratio can be ...
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DSCR = NOI/Total Debt Service -- The DSCR is a ratio used to analyze the amount of debt that can be supported by the cash flow generated from the property.
- Debt Service Coverage Ratio Calculator - Biz2credit
The debt service coverage ratio (DSCR) is used by bank loan officers to determine income property loans. Most lenders require a minimum DSCR of 1.2.
- Debt-Service Coverage Ratio financial definition of Debt-Service ...
Definition of Debt-Service Coverage Ratio in the Financial Dictionary - by Free online English dictionary and encyclopedia. What is Debt-Service Coverage ...
- Debt Service Coverage Ratio Definition, Formula & Example ...
We explain the definition of Debt Service Coverage Ratio, provide a clear example of the formula and explain why it's an important concept in business, finance ...
- Debt Service Coverage Ratio (DSCR) - wikiCFO
Jun 22, 2011 ... The debt service coverage ratio is a financial ratio that measures the company's ability to pay their debts.