DealCalc calculator guide

Subject-To Calculator

Subject-To deals are won or lost in the takeover details: existing debt, seller cash, arrears, repairs, payment spread, and the exit plan.

Primary outputCash Required

Primary outputMonthly Cash Flow

Calculator

Model the takeover before you trust the creative terms.

DealCalc handles both subject-to rental holds and optional flip-style exits so you can test the debt and the plan together.

Example inputs

Purchase Price$235,000
Existing Loan Balance$182,000
Monthly Payment$1,525
Seller Cash$5,000
Back Payments$0
Repairs$12,000

In-app workflow

Pick the calculator in Analyze.
Enter assumptions and review Deal Score.
Save the deal when the numbers deserve a second look.
Upgrade for AI Insights, Project Tracker, portfolio, and investor-ready reports.

Results

Read the result like an investor, not a spreadsheet.

Equity at Takeover$53,000

Cash Required$21,000

Monthly Payment$1,525

Rent vs Payment Spread$925/mo

Monthly Cash Flow$610/mo

Cash-on-Cash Return34.9%

DSCR1.27

Deal Score7.9 / 10

Metric explanations

DealCalc metric names used on this page

Equity at TakeoverProperty value or purchase basis minus the existing loan balance at takeover.
Seller CashCash paid to the seller above the loan takeover.
Arrears + RepairsPast-due payments plus immediate repair budget needed to stabilize the deal.
Cash RequiredTotal upfront cash needed to control the deal.
Rent vs Payment SpreadGross recurring income minus the existing payment load.
Monthly Cash FlowSubject-to hold cash flow after vacancy, management, maintenance, and debt.
DSCRNOI divided by annual debt service on the takeover structure.

AI Insights

Use the guide to learn. Use the app to decide faster.

Payment spread

DealCalc AI Insights flags whether the existing payment gives you enough cushion after real operating drag.

Exit risk

If you model a resale, the app checks Projected Profit after cash in and debt carry, not just equity.

Upgrade workflow

Subject-To deals need notes and follow-up. DealCalc keeps the scenario saved instead of buried in a one-off spreadsheet.

Step-by-step guide

How to use this calculator workflow

01
Enter Purchase Price, Existing Loan Balance, Loan Rate %, Monthly Payment, and Remaining Term.
02
Add Seller Cash, Closing Costs, Back Payments, and Repairs.
03
Choose rental hold or flip exit assumptions.
04
Review Cash Required, Equity at Takeover, Monthly Cash Flow, and DSCR.
05
Save the scenario and revisit it as seller terms change.

Common mistakes

Where investors usually distort the answer

Ignoring arrears or reinstatement costs.
Assuming a low payment means positive Monthly Cash Flow.
Forgetting whether taxes and insurance are included in the payment.
Not testing a resale or refinance exit before taking over debt.

FAQs

What should a Subject-To calculator show?

It should show existing debt, Seller Cash, arrears, repairs, Cash Required, Equity at Takeover, Monthly Payment, Monthly Cash Flow, DSCR, and optional resale outcomes.

Why does DealCalc show Rent vs Payment Spread?

It gives a quick read on whether the income has enough room before deeper vacancy, management, and maintenance assumptions are applied.

Can DealCalc model a Subject-To flip exit?

Yes. The app can model a resale path with ARV, Selling Costs, Loan Payoff at Exit, Net Sale Proceeds, and Projected Profit.

Run it in DealCalc

Run the Subject-To structure in DealCalc before taking over the note.

This page is built to teach the workflow and drive search traffic. The full DealCalc experience adds saved deals, AI Insights, Project Tracker, portfolio dashboards, and investor-ready reports.

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