Move the sliders to see the whole investment picture update at once — net operating income, cap rate, cash-on-cash return, debt-service coverage and debt yield — for a cash or mortgaged Dubai property.
Set the loan to 0 for a cash purchase — DSCR and debt yield then read “—” because there is no debt to cover.
5.60%cap rate
Indicative only. NOI and cap rate are unleveraged; cash-on-cash and DSCR depend on your financing. Lenders typically want a DSCR ≥ 1.25 and a debt yield ≥ 8–10%.
Rent net of a vacancy allowance, minus operating expenses (service charge, management, maintenance, insurance) — but before mortgage payments. It is the income the asset itself throws off, independent of how you finance it.
NOI divided by the property value. The unleveraged yield on the asset — a quick way to compare deals and to value a property by its income (price = NOI ÷ target cap rate).
Annual cash flow after debt service, divided by the cash you actually put in (down payment plus closing costs). The return on your equity for a mortgaged buy — it can far exceed the cap rate when financing is cheap, or turn negative when it isn't.
Two lender tests. DSCR is NOI ÷ annual debt service — they want ≥ 1.25 so the rent comfortably covers the loan. Debt yield is NOI ÷ loan amount — a rate-and-term-proof view of risk, with floors around 8–10%.
Cap rate is the unleveraged yield on the whole asset. Your actual return on the cash you invested is the cash-on-cash figure, which financing can push well above — or below — the cap rate.
Service charge, management fees, maintenance reserve, insurance, the Dubai Municipality housing fee and vacancy all sit between gross rent and NOI. Leaving them out flatters every metric on this page.
These are indicative figures for comparing deals. A bank runs its own valuation and debt-burden assessment; a real purchase decision also weighs appreciation, liquidity and exit — see the finance guides.