Debt Service Coverage Ratio

DSCR: Debt Service Coverage Ratio in Relation to HUD 221(d)(4) Loans

DSCR: Debt Service Coverage Ratio in Relation to HUD 221(d)(4) Loans

When deciding whether to issue a loan to a borrower, one of the most important aspects a lender looks at is DSCR, or Debt Service Coverage Ratio. DSCR is a measurement of annual cash flow vs. annual debt obligations.