Annual Debt Service

Total annual mortgage payments.

Example Result

Sample Data

$24,590

Based on a sample $385,000 property with $2,850/month rent, 20% down, 7% interest rate.

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Annual Debt Service Formula

Monthly Mortgage Payment x 12

$2,049.13 x 12

$24,590

What This Means

A sample property priced at $385,000 with $2,850/month rent has a annual debt service of $24,590. Annual debt service is used in many key ratios including DSCR and breakeven ratio. It represents a fixed obligation that must be met regardless of occupancy, making it a critical factor in risk assessment.

Where This Value Comes From

Annual Debt Service is not entered directly — it is calculated from Monthly Mortgage Payment. See the formula breakdown above and the detailed inputs below.

Calculated From

Annual Debt Service is calculated using these inputs:

Monthly Mortgage Payment

Monthly principal and interest payment on the mortgage.

$2,049.13

Used to Calculate

Annual Debt Service is used as an input for these calculations:

Cash Flow Before Tax

Income Metrics

-$4,246

Total Monthly Expenses

Expense Metrics

$3,061

Total Annual Expenses

Expense Metrics

$36,736

Total Expense Per Unit Per Year

Expense Metrics

$36,736

One Month of Reserves

Expense Metrics

$3,061

Debt Service Coverage Ratio

Break-Even Occupancy Rate

Cash Flow Projections

107.41%

Platform Distribution

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Why It Matters

Annual debt service is used in many key ratios including DSCR and breakeven ratio. It represents a fixed obligation that must be met regardless of occupancy, making it a critical factor in risk assessment.