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Real Estate Investing

Rental Property Calculator

Analyze rental-property cash flow, NOI, cap rate, cash-on-cash return, DSCR and the 1% rule from one set of assumptions.

Estimated monthly cash flow
Change the assumptions to analyze the property.
Cap rate
Cash-on-cash
DSCR
1% rule

Property breakdown

Gross monthly income
Vacancy allowance
Monthly operating expenses
Monthly NOI
Mortgage P&I
Total cash invested

Analyze the deal in layers

A useful rental analysis separates property operations from financing. Effective income is rent and other income after vacancy. Operating expenses are deducted to produce net operating income (NOI). Mortgage payments are then deducted from NOI to estimate cash flow.

Cap rate measures unlevered property performance, while cash-on-cash return measures annual cash flow relative to the cash you invested. DSCR compares NOI with debt service. The 1% rule is shown only as a quick rent-to-price screen.

Do not buy from one metric. A property can pass the 1% rule and still lose money after taxes, insurance, maintenance, vacancy and financing.

Frequently asked questions

What expenses should I include?

Include recurring property taxes, insurance, HOA, maintenance, management, CapEx reserves, utilities you pay and other operating expenses.

What is NOI?

NOI is effective property income minus recurring operating expenses before mortgage payments and income taxes.

What is DSCR?

Debt-service coverage ratio compares NOI with debt service. A value above 1 means NOI exceeds the modeled mortgage payment.

Is appreciation included?

No. This page focuses on current operating performance and cash flow; use the rental property ROI calculator for a multi-year appreciation scenario.

Rental-property calculations are estimates for screening and education, not investment, tax, lending or legal advice. Verify rents, expenses, financing and local conditions before making a decision.