The deal — type your numbers
Sample deal loaded — a fictional 120-unit example for demonstration only. It is not a real property.
Total principal + interest paid per year.
Calculate debt service from loan terms
Standard stress
80 / 50 / Zero / 1.25
The screen every deal must pass first — all four tests at once.
Gross potential rent
100 units × $1,200/mo × 12
$0
Gross income
GPR + other annual income
$0
Effective gross income
Gross income × 80% occupancy
$0
Operating expenses
EGI × 50% expenses
$0
Stress NOI
EGI − operating expenses · zero rent growth
$0
Annual debt service
What the loan must be paid each year
$0
Stress DSCR
Stress NOI ÷ debt service — must clear 1.25×
—
Stressed cap rate
—
Stress NOI ÷ purchase price
Break-even occupancy
—
(2 × debt service) ÷ gross income
—
Hard stress
70 / 57.5 / 1.25
The severe case — occupancy drops to 70%, expenses climb to 57.5%.
Gross potential rent
100 units × $1,200/mo × 12
$0
Gross income
GPR + other annual income
$0
Effective gross income
Gross income × 70% occupancy
$0
Operating expenses
EGI × 57.5% expenses
$0
Hard-stress NOI
EGI − operating expenses · zero rent growth
$0
Annual debt service
What the loan must be paid each year
$0
Hard-stress DSCR
NOI ÷ debt service — must clear 1.25×
—
Stressed cap rate
—
Hard-stress NOI ÷ purchase price
Break-even occupancy
—
Debt service ÷ (gross income × 0.40)
—