Question
Ann wants to buy a building. The annual NOI for the building will be $100,000. She wants to get a 10 year interest only fixed
Ann wants to buy a building. The annual NOI for the building will be $100,000. She wants to get a 10 year interest only fixed rate mortgage at an annual rate of 5% with annual compounding and annual payments to buy the building. The lender has a minimum Debt Service Coverage Ratio (DSCR) of 1.20. If Ann gets a 50% LTV loan for $500,000, what is her DSCR?"
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Statistics Informed Decisions Using Data
Authors: Michael Sullivan III
5th Edition
9780134133539
