Portfolio

Debt Analysis

Assess portfolio gearing, debt service cover and refinancing exposure.

Intermediate

Introduction

Who this is for: Geared portfolio investors managing refinancing risk.

Why it matters: Portfolio risk concentrates in two places: how much debt matures at once, and how much headroom exists if rates rise. DSCR at a stressed rate is what a lender will look at, not the current pay rate.

Typical scenario: An investor with £1.8m of debt across a portfolio, checking exposure if rates rise 2%.

Common mistakes:
  • Measuring cover at the pay rate rather than a stressed rate.
  • Not tracking how much debt matures in the same year.
  • Assuming refinancing will be available on the same terms.

Inputs

Portfolio

£
£
£

Debt Terms

%
%
£

x

Analysis

LTV is 69.2% with £800,000 of equity. Debt service of £95,400 is covered 1.76x, falling to 1.28x at 7.30%. 42% of debt matures within a year.

This analysis provides context, not financial advice. Consult a qualified adviser before making investment decisions.

Create a free account to keep this analysis, compare it against other projects, and pick up where you left off on another device.

Create free account →

Sensitivity Analysis

Sensitivity

Adjust the variables below to stress-test this scenario. Results update instantly.

£2,600,000
£0£5,200,000
£1,800,000
£0£3,600,000
£168,000
£0£336,000
5.3%
020

Export

Live Results

Portfolio LTV

69.23%

DSCR (current rate)

1.76x

DSCR (stressed)

1.28x

Net Cash Flow

£72,600

42% of debt matures within 12 months. Concentrated maturity is a serious risk if credit conditions tighten — consider staggering terms.
Rates would need to reach 7.47% for DSCR to hit the covenant — currently 2.17 points of headroom.
Annual Debt Service£95,400
Stressed Debt Service£131,400
Refinancing Exposure41.67%
Equity£800,000
Rate at Covenant Breach7.47%