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Updated over 12 years ago,
Debt Service Coverage Ratio and Cash On Cash Return - No Loan to Calculate?
How can I calculate DSCR and CoC prior to making an investment if i do not currently have a loan on the property? Don't I need to know exactly what my loan will be before I can calculate this accurately? I have not spoken to any banks or private money yet but I know these are important metrics that need to be figured out before I approach them. How do I get a handle on these numbers beforehand without an already existing loan?