CRE Tools

Free calculators and tools to help you analyze commercial real estate deals. No signup required.

Educational content only: This information does not constitute legal, tax, financial, or investment advice. Always consult qualified professionals before making investment decisions.

Available Tools

What it calculates

  • DSCR (Debt Service Coverage Ratio) - measures cash flow coverage
  • Debt Yield - lender's asset-level return
  • Going-in Cap Rate - NOI / purchase price
  • Cash-on-Cash Return - year 1 cash flow / equity invested
  • Simplified IRR - internal rate of return estimate
  • LTV (Loan-to-Value) - loan amount / purchase price

Required inputs

  • Purchase price and down payment percentage
  • Interest rate and amortization period
  • Net Operating Income (NOI)
  • Exit cap rate and hold period

Best for

Quick deal screening and initial underwriting. See if a deal passes basic lender requirements (1.25x DSCR, 10%+ debt yield) before diving into detailed modeling.

Deal Inputs

Results

How to Use This Calculator

This calculator helps you quickly evaluate commercial real estate investment opportunities by computing the key metrics lenders and investors care about most.

Required Inputs

  • Purchase Price: Total acquisition cost
  • Down Payment %: Equity contribution (typically 20-35%)
  • Interest Rate: Annual loan rate (typically 6-8% in 2026)
  • Amortization: Loan term in years (typically 20-30 years)
  • NOI: Net Operating Income (revenue minus operating expenses)
  • Exit Cap Rate: Expected cap rate at sale
  • Hold Period: Years until sale

Key Metrics Explained

  • DSCR (Debt Service Coverage Ratio): NOI / Debt Service. Lenders want 1.25x minimum.
  • Debt Yield: NOI / Loan Amount. Lenders want 10%+ for most CRE.
  • Going-In Cap Rate: NOI / Purchase Price. Market-dependent.
  • Cash-on-Cash: Year 1 cash flow / equity invested.
  • IRR: Internal rate of return (simplified estimate).

Note: This calculator provides simplified estimates. Always use detailed underwriting models and consult with professionals before making investment decisions.

Understanding the Underwriting Triangle

Lenders use three core metrics to evaluate CRE deals: DSCR, debt yield, and LTV. These metrics work together to assess risk from different angles.

DSCR measures cash flow coverage (can the property pay the debt?), debt yield measures asset-level returns (what return does the lender get on their loan?), and LTV measures collateral coverage (how much equity cushion exists?).

Read: DSCR vs Debt Yield vs LTV →