Rental property calculator for investment returns and ROI
Estimate monthly cash flow, cap rate, cash-on-cash return and first-year ROI for a rental property you own or plan to buy.
Return on Investment (ROI)
Updates as you type
an estimate, not a lender quote
How this is calculated. In plain words.
- 1
Loan amount is the price minus the down payment; the monthly payment uses a standard amortizing loan.
- 2
Effective rent subtracts vacancy, and net operating income (NOI) subtracts expenses and management fees.
- 3
Cash flow is NOI minus the loan payment. Cash invested is the down payment, closing costs and repairs.
- 4
Cap rate is annual NOI divided by price. Cash-on-cash is annual cash flow divided by cash invested. First-year ROI adds principal paid down to cash flow.
This calculator gives an estimate for planning only. It is not financial, tax or legal advice.
Before you trust the projection.
Why does first-year ROI differ from cash-on-cash return?
Cash-on-cash counts only the cash the property hands back. First-year ROI also counts the loan principal paid down, which builds equity even though it never reaches your bank account.
What vacancy rate should I use?
Use your own history if you have it, or a local market figure. Leaving vacancy at zero overstates cash flow, because most units sit empty for some time between tenants.
Does the loan payment include taxes and insurance?
No. The payment here is principal and interest only. Enter property taxes and insurance as operating expenses so they count in net operating income.
Is the result advice?
No. It is an estimate for planning, using only the numbers you type. Nothing is saved or sent anywhere; the calculation runs in your browser.
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