hard · Asset-Backed Securities collateral
A commercial property generates an NOI of $3.5 million and is purchased at a 6.5% cap rate. The buyer secures a loan at 65% LTV with a 5.75% interest rate and 25-year amortization.
What is the Debt Service Coverage Ratio (DSCR) for this loan?
- 1.10x
- 1.32x
- 1.55x
- 1.48x
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