A contractual obligation embedded in a commercial mortgage agreement that the borrower must maintain throughout the life of the loan. Common covenants include minimum DSCR thresholds (e.g., 1.20x), ma
Strategy Call
Discuss your goals and financing needs
Get Pre-Approved
We match you with the right lender
Close Your Deal
Fast closings with expert support
A contractual obligation embedded in a commercial mortgage agreement that the borrower must maintain throughout the life of the loan. Common covenants include minimum DSCR thresholds (e.g., 1.20x), maximum LTV ratios, reserve fund requirements, and restrictions on taking on additional debt or making ownership changes without lender approval.
← Mortgage & Real Estate Glossary 2026 · Editorial standards
Talk to a mortgage financing specialist for investors and get personalized guidance.
We use privacy-friendly analytics (no ad tracking). Calculator settings are saved on your device. See our Privacy Policy .