02Stress the debt
DSCR calculator
Coverage decides loan size long before value does.
What DSCR do Canadian commercial lenders require?
Most conventional lenders size to 1.20x–1.35x coverage; insured multi-residential debt clears at 1.10x.
DSCR calculator
Annual debt service
$347,923
DSCR
1.21x
Below lender threshold
Max loan at 1.25x
$4,345,792
Debt service schedule
First twelve payment periods.
| Period | Payment | Interest | Principal | Balance |
|---|---|---|---|---|
| 1 | $26,438 | $18,938 | $7,500 | $4,492,500 |
| 2 | $26,438 | $18,906 | $7,532 | $4,484,968 |
| 3 | $26,438 | $18,874 | $7,564 | $4,477,404 |
| 4 | $26,438 | $18,842 | $7,595 | $4,469,809 |
| 5 | $26,438 | $18,810 | $7,627 | $4,462,181 |
| 6 | $26,438 | $18,778 | $7,659 | $4,454,522 |
| 7 | $26,438 | $18,746 | $7,692 | $4,446,830 |
| 8 | $26,438 | $18,714 | $7,724 | $4,439,106 |
| 9 | $26,438 | $18,681 | $7,757 | $4,431,350 |
| 10 | $26,438 | $18,649 | $7,789 | $4,423,560 |
| 11 | $26,438 | $18,616 | $7,822 | $4,415,738 |
| 12 | $26,438 | $18,583 | $7,855 | $4,407,884 |
Sources
- [1] Bank of Canada valet API — benchmark rates
- [2] Capitalor Commercial Debt Rate Index — spread construction