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    Calculators

    Lease doc lending,
    let the rent do the talking.

    Work out the maximum loan a property can support from its net rental income and the lender's Interest Coverage Ratio. This is how most commercial and investment loans are actually assessed. Indicative only — for a deal modelled against the right lending panel, talk to us.

    Property Income Details

    This calculator provides indicative estimates only and does not constitute financial advice. Actual lending outcomes depend on lender policy, property type, tenant covenant, lease terms, and borrower profile. Contact us for a detailed assessment.

    Results will appear here

    Enter your property's rental income details and click calculate to see the maximum loan your income can support.

    How it works

    How lease doc lending actually works.

    Three steps decide how much a property can borrow on its own income. Know them before you walk into a lender.

    STEP 01

    Net Rental Income

    Start with gross rental income per annum, then strip out outgoings and a vacancy allowance. What's left is the net figure the lender assesses.

    STEP 02

    Interest Coverage Ratio

    The lender requires net rent to cover the annual interest by a minimum ratio — typically 1.25x to 1.50x, depending on the lender and asset class.

    STEP 03

    Maximum Loan

    Divide net rent by the ICR to get the maximum annual interest allowed, then back-solve to the loan amount at your assumed rate.

    Reference

    Understanding the Interest Coverage Ratio.

    The ICR is the primary measure lenders use to assess whether a commercial or investment property earns enough to service its debt.

    It's calculated by dividing the property's net rental income by the annual interest payments on the loan. The higher the ratio a lender demands, the more income buffer they want before they'll fund.

    For example: a property generating $150,000 in net rental income per year, against a lender ICR of 1.35x, allows maximum annual interest of $111,111. At a 7% interest rate, that's a maximum loan of roughly $1,587,302.

    Different lenders and asset classes attract different ICR requirements. A well-leased commercial property with a strong tenant covenant might attract 1.25x; a secondary asset or shorter lease term may need 1.50x or higher. We help you understand where your property sits and which lenders offer the best terms.

    1.25x

    Non-bank and private lenders, strong tenant covenant, long WALE.

    1.30x

    Second-tier lenders, solid commercial assets.

    1.35x

    Standard requirement for most commercial lenders.

    1.50x

    Major banks, secondary assets, shorter lease terms.

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    Need a Detailed Assessment?

    Every property and lender is different. Get in touch and we'll model your specific scenario against the right lending panel.

    Contact Details

    Phone

    02 6188 9849

    Office

    Level 1, 33 Allara Street
    Canberra ACT 2601

    Hours

    Monday – Friday, 9am – 6pm

    What to Expect

    • Honest assessment of your options
    • Response within 24 hours
    • Strategic insight, not a sales pitch
    • No obligation discussion