Property Financing Stress Test
Test a change in collections, expenses or borrowing rate against the same property. This sensitivity analysis is not a forecast or loan approval.
Have a live deal to finance?
Use this estimate to prepare, or request a financing review when you are ready to share the property, requested proceeds, and timeline.
Property cash flow
Set the base case
Use annual figures. Vacancy applies to scheduled rent, while other collected income stays unchanged in the stress case.
Loan terms
Test the debt service
Loan sizing uses the entered target DSCR and amortization. The threshold is a planning assumption, not approval criteria.
Stress assumptions
Change one or more conditions
Changes are applied to collected rent, operating expenses and the annual interest rate. Zero percent or zero points leaves that input unchanged.
Applied to rent collected after current vacancy. Other collected income is not changed.
The resulting annual rate must be 0% or higher.
Base and stressed estimates
Waiting for inputsComplete the required fields with valid values to see the estimate. Results recalculate as you edit.
Keep the base case and changed case separate
Start with scheduled annual rent, an assumed vacancy allowance, other collected income and operating expenses. Vacancy reduces scheduled rent before the rent change is applied. Other collected income is held constant in the changed case. The expense adjustment applies to the entered operating expense total. The rate adjustment is entered in percentage points, not as a percentage change in the original rate. A negative rent adjustment reduces collections, while a positive expense adjustment increases costs.
Both payment cases assume fully amortizing debt at their respective entered rates. A rate change is a comparison assumption, not a prediction that an existing fixed rate loan will reprice. If there is no debt service, DSCR is undefined rather than infinite. Negative NOI remains visible, and the model shows no positive debt capacity from that income. The equity reduction figure compares the entered loan amount with changed case supportable debt, not with an appraisal or a lender commitment.
What this test does not determine
The target DSCR is your scenario input. A lender may apply another coverage requirement, adjust NOI, impose a collateral limit or require reserves. The calculated debt capacity does not include an LTV or debt yield constraint. Use the refinance proceeds calculator when you also need to compare those modeled limits and deduct an existing payoff. Do not combine the two results as separate sources of borrowing capacity.
For a property under renovation or lease up, keep actual collections separate from future stabilized rent. This model does not predict tenant departures, change lease terms or estimate the time needed to fill vacant space. Read how much NOI a commercial loan needs to understand the different sizing tests. CapitalAx can review your stated assumptions as a broker. The lender remains responsible for its own underwriting and approval, and your loan documents control payment and maturity obligations.