Seller-Finance DSCR Calculator

Enter the deal terms, solve for the seller-carry needed to hit your target DSCR, then test whether a year-five cash-out refinance can pay off the seller balloon.

Deal inputs

Edit any field, then press Save & recalculate (or hit Enter) to update the results below. Sliders and the chatbot apply instantly.

Saved

Purchase price$Gross monthly rent$New monthly rent at refi$Property tax annual$Insurance annual$Other expenses annual$Down payment$15% of purchase pricePrimary DSCR loan rate%AmortizationyrCommission back%Seller credit to buyer%Closing cost estimate%Refi value at year 5$Custom refi rate%

DSCR target1.20Minimum coverage ratio. 1.20 means NOI must be 120% of total monthly debt service.Seller note rate0.00%Seller carry is modeled as interest-only with a balloon due after 5 years.Extension rate4.00%If refi cash-out cannot pay off the seller note, this shows the extended interest-only payment.Refi LTV75%Refi loan is capped by this LTV and by the DSCR capacity from year-five rent.

Solved seller-finance structure

Based on current rents and expenses, the seller note is sized to hit the target DSCR.

Target DSCR met

Seller finance needed

$80,578

6.71% of purchase price

Primary loan

$939,422

$6,250/mo P&I at 7%

Total debt service

$6,250/mo

Seller IO payment $0/mo

Achieved DSCR

1.20

Target payment cap $6,250/mo

Monthly NOI

$7,500

$90,000 annual NOI

Monthly cashflow

$1,250

After current debt service

Estimated cash to close

$102,000

Closing $24,000 - commission $30,000 - credit $72,000

Year-5 primary payoff

$884,293

Primary loan balance after 60 payments

Year-5 refinance scenarios

Cash-out equals the new DSCR/LTV-limited loan less the remaining primary balance. It is compared against the seller balloon.

Seller balloon: $80,578

4.00%

Shortfall

New loan: $900,000
New payment: $4,297/mo
Cash-out available: $15,707
Seller balance left: $64,871
Extended seller payment: $216/mo

Loan cap: $900K by LTV, $2M by DSCR.

4.50%

Shortfall

New loan: $900,000
New payment: $4,560/mo
Cash-out available: $15,707
Seller balance left: $64,871
Extended seller payment: $216/mo

Loan cap: $900K by LTV, $2M by DSCR.

5.00%

Shortfall

New loan: $900,000
New payment: $4,831/mo
Cash-out available: $15,707
Seller balance left: $64,871
Extended seller payment: $216/mo

Loan cap: $900K by LTV, $1M by DSCR.

5.50% custom

Shortfall

New loan: $900,000
New payment: $5,110/mo
Cash-out available: $15,707
Seller balance left: $64,871
Extended seller payment: $216/mo

Loan cap: $900K by LTV, $1M by DSCR.