
What Does a DSCR of 1.25 Mean for a Real Estate Investor?
A DSCR of 1.25 means the property generates 25% more income than needed to cover debt service, which is why many lenders use it as a qualification floor.
Explore guides that connect to DSCR ratio, from tactical buying decisions to positioning and investment strategy.

A DSCR of 1.25 means the property generates 25% more income than needed to cover debt service, which is why many lenders use it as a qualification floor.