What this calculator shows you
- Cash Flow Analysis
- See monthly and annual cash flow
- Cap Rate
- Calculate capitalization rate
- Cash-on-Cash Return
- Measure return on invested capital
- Expense Breakdown
- Account for all costs
Key Metrics
Cash Flow: Monthly income minus expenses. Cap Rate: NOI / Purchase Price (aim for 5-10%). Cash-on-Cash Return: Annual cash flow / Cash invested (aim for 8-12%). These metrics help compare properties.
Hidden Costs
Many new investors underestimate: vacancy (assume 5-10%), repairs/maintenance (1% of value annually), property management (8-10% of rent), capital expenditures (roof, HVAC). Build these into your analysis.
Questions people ask
What is a good cap rate?
It varies by market and risk. Class A properties in prime areas might be 4-5%. Class C properties in secondary markets might be 8-10%. Higher cap rate often means higher risk.
Should I manage the property myself?
Self-management saves 8-10% but requires time and landlord skills. For out-of-area properties or if you value your time highly, professional management is often worth it.
Education only, not personalized financial, tax or investment advice. Results are estimates based on the numbers you enter; real returns vary and losses happen.