Rental Property ROI Calculator
What Is Your Rental Really Earning?
A rental can look profitable on paper and still lose money every month. This calculator shows the three numbers investors use to judge a rental: the cash it puts in your pocket each month, its cap rate and the return on the cash you have invested. Type in your numbers and press Calculate.
How to Read Your Results
Cash flow per month. What is left from the rent after the mortgage, taxes, insurance and your other monthly costs. A negative number means the property costs you money each month.
Cap rate. One year of income after operating costs, before the mortgage, divided by the purchase price. It lets you compare two properties regardless of how each one is financed.
Cash-on-cash return. One year of cash flow divided by the cash you actually put in: down payment, closing costs and repairs. It tells you how hard your own money is working.
What the calculator leaves out. Vacancy between residents, income taxes and any rise in the home’s value. A month of vacancy or one large repair can change the picture, which is why steady occupancy and regular upkeep matter so much. See how we handle maintenance and tenant screening.
Want to see how much of your own time the rental is costing you? Try the savings calculator. Deciding whether to keep the property at all? Try the rent vs. sell calculator. Wondering what an empty month costs? Try the vacancy loss calculator.
Get a Free Rental Analysis
Not sure what rent to enter? Request a free rental analysis and we will tell you what your home could rent for.