LOAN DADDY LLC DebtServiceCoverageRatio.Loan · NMLS #2827624
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Application technology provided by ARIVE, Inc., a software provider. All applications are received and processed solely by Loan Daddy LLC, NMLS #2827624.

Property types

2-4 unit DSCR loan guide

Duplexes, triplexes, and fourplexes can create stronger total rent, but expense and vacancy assumptions need to reflect all units.

Use total rent and total expenses

Add rent across all units, then subtract realistic property-level operating expenses. Vacancy, repairs, insurance, and taxes can scale differently than a single-family rental.

  • Rent roll or market rent per unit
  • Vacancy stress test
  • Repairs and maintenance
  • Insurance and property tax assumptions

Why reserves matter

Multiple units can mean more moving parts. Strong reserves help support the scenario when turnover or repairs happen after closing.

Frequently asked questions

Can I use a DSCR loan for duplex?

Some business-purpose DSCR programs may consider duplex scenarios, subject to lender guidelines, property cash flow, credit profile, reserves, collateral, and full review.

How do I calculate DSCR for duplex?

Use supportable monthly rental income, subtract realistic operating expenses, then divide net operating income by the proposed monthly debt service.

Does this guide guarantee loan approval?

No. Loan Daddy LLC is a mortgage broker, not a lender. This guide and calculator are educational only and do not provide loan approval, pre-approval, rate lock, or commitment to lend.

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