The Debt Service Coverage Ratio measures whether a property's income can cover its loan payments. Pre-filled with Illinois market data. Net Operating Income ÷ Annual Debt Service. Lenders use DSCR to qualify investor loans — most require 1.15–1.25 minimum.
Avg Cap Rate
6.5%
Median Price
$286K
Property Tax
1.79%
Vacancy Rate
6.5%
Local Factors
DSCR
0.61x
What does this mean?
A DSCR below 1.0 means the property doesn't generate enough income to cover its debt payments. The investor must cover the shortfall out of pocket. Most lenders won't fund this deal.
Why DSCR matters
DSCR loans let investors qualify based on the property's income — not personal W-2s or tax returns. The ratio tells lenders whether the rental income can cover the mortgage. A higher DSCR means lower risk and often better rates.
Keep running the numbers
DSCR tells you if the Illinois property pays for itself. Now look at the full picture.
Measure the annual return on your actual cash invested, factoring in financing, expenses, and rental income.
Calculate your monthly mortgage payment, total interest, and see a full cost breakdown.
Calculate Net Operating Income — the foundation of commercial real estate valuation.
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