Rental Property Calculator
Analyze any rental property's cash flow, cap rate, and return on investment before you buy.
Key Metrics
- Cap Rate
- NOI ÷ Property Value × 100
- Cash-on-Cash Return
- Annual Cash Flow ÷ Cash Invested × 100
- Gross Rent Multiplier
- Price ÷ Annual Gross Rent
- 1% Rule
- Monthly rent ≥ 1% of purchase price
FAQs
A cap rate of 5–10% is generally considered good, though this varies by market. High-appreciation areas like NYC or SF often have 2–4% cap rates, while Midwest/South markets offer 7–10%.
Cash-on-cash return measures annual pre-tax cash flow divided by total cash invested. A 8–12% cash-on-cash return is typically considered good for rental properties.
The 1% rule states monthly rent should be at least 1% of the purchase price. A $200K property should rent for $2,000/month. It's a quick screening tool, not a comprehensive analysis.