Maximum Loan Proceeds Sizing Calculator

Loan sizing has three constraints. This calculator tests all.

Property value

NOI

Rate %

Amortization years

Max LTV %

Min DSCR

Min debt yield %

Max loan (binding)

$9,523,157

LTV-constrained loan

$10,500,000

DSCR-constrained loan

$9,523,157

How the math works

Test: LTV × value, NOI / (DSCR × constant), NOI / debt yield. Take minimum.

$15M value, $1.05M NOI, 7% 25-yr: LTV $10.5M, DSCR $9.53M, DY $11.67M. DSCR binds at $9.53M. Shop lenders with tighter LTV cap (75%) if DSCR-binding; they'll size up.

How to Use

Enter property value.
Enter NOI.
Enter rate %.
Enter amortization years.
Enter max LTV %.
Enter min DSCR.
Enter min debt yield %.
Read binding constraint.

Frequently Asked Questions

Which constraint binds?

Low cap rate / high value: LTV tends to bind (biggest loan). Low NOI / moderate rate: DSCR binds. Tight lender with low trust in asset class: debt yield binds. Compare all three; take minimum. Savvy borrowers arbitrage — pick lender whose model sizes them best.

Typical standards?

Stabilized multifamily: 75% LTV, 1.25 DSCR, 8% debt yield. Office: 65-70% LTV, 1.35 DSCR, 10% debt yield. Retail: 65% LTV, 1.35-1.40 DSCR, 10-12% debt yield. Industrial: 70-75% LTV, 1.30 DSCR, 9-10%.

Loosening?

Strong sponsor: LTV +5%, DSCR −0.05. Long WALT: debt yield −100 bps. Credit tenant: LTV +5-10%. Institutional quality: multiple loosenings combined. Each lender has proprietary adjustments — hundreds of bps available with relationship and paper.