Enter Property Assumptions
The page uses a single column section flow, while the input area changes to three columns on large screens, two on tablets, and one on mobile.
Example Data Table
This sample scenario matches the default values prefilled in the calculator.
| Variable | Example Value | Purpose |
|---|---|---|
| Purchase Price | $250,000 | Acquisition cost before financing. |
| Down Payment | 25% | Investor cash used to reduce borrowing. |
| Closing Costs | $7,000 | Transaction and lender charges. |
| Rehab Costs | $15,000 | Initial repair and improvement budget. |
| Monthly Rent | $2,400 | Main recurring rental income. |
| Other Income | $100 | Extra income from fees or parking. |
| Vacancy Rate | 5% | Expected unoccupied or unpaid period. |
| Annual Taxes | $3,600 | Yearly property tax expense. |
| Annual Insurance | $1,400 | Asset protection and liability coverage. |
| Holding Period | 10 years | Projection length used for exit returns. |
Formula Used
Loan Amount = Purchase Price − Down Payment Amount
Monthly Mortgage Payment = P × [r(1+r)n] ÷ [(1+r)n − 1]
Effective Gross Income = (Rent + Other Income) × (1 − Vacancy Rate)
Operating Expenses = Fixed Costs + Management + Maintenance + Capital Reserve
NOI = Effective Gross Income − Operating Expenses
Pre Tax Cash Flow = NOI − Debt Service
Cap Rate = Annual NOI ÷ (Purchase Price + Closing Costs + Rehab Costs)
Cash on Cash Return = Annual Cash Flow ÷ Initial Cash Invested
DSCR = Annual NOI ÷ Annual Debt Service
Break Even Occupancy = (Operating Expenses + Debt Service) ÷ Gross Income
Sale Proceeds = Future Sale Price − Selling Costs − Remaining Loan Balance
IRR is the discount rate where the net present value of all project cash flows equals zero.
How to Use This Calculator
- Enter the acquisition details, including price, down payment, closing costs, and rehab budget.
- Add income assumptions such as rent, side income, and vacancy expectations.
- Fill in operating costs, including taxes, insurance, maintenance, and management fees.
- Set growth assumptions for rent, expenses, appreciation, selling costs, and ownership period.
- Click Analyze Property to show the result block above the form.
- Review monthly and annual performance metrics, then study the yearly projection table.
- Use the graph to compare future value, equity, loan balance, and recurring cash flow.
- Download the output with CSV or PDF buttons for sharing or later review.
Frequently Asked Questions
1. What does this analyzer measure?
It estimates rental property performance using financing, income, expenses, yearly growth, sale proceeds, and investment returns. You get monthly metrics, yearly projections, and an overall return view in one place.
2. Why is NOI important?
NOI shows how the property performs before debt payments. It helps compare deals fairly, measure operational strength, and calculate cap rate and debt coverage.
3. What is cash on cash return?
Cash on cash return compares annual pre tax cash flow with the actual cash you invested. It is useful when evaluating leveraged properties with different down payment sizes.
4. How is DSCR used by investors and lenders?
DSCR measures whether NOI can cover annual debt service. Ratios above 1.00x show coverage, while higher ratios provide more room for income variation and expense surprises.
5. Does the calculator include appreciation?
Yes. The future property value grows each year by the appreciation rate you enter. That value affects projected equity and estimated proceeds at sale.
6. What is included in operating expenses here?
Operating expenses include taxes, insurance, HOA, utilities, other monthly costs, management, maintenance reserves, and capital expenditure reserves. Financing costs are excluded from NOI.
7. Why can IRR differ from cash on cash return?
IRR uses the timing of cash flows, debt reduction, appreciation, and sale proceeds over several years. Cash on cash focuses mainly on one year of income versus initial cash invested.
8. Can I use this for deal screening?
Yes. It is useful for quick comparisons between properties, financing options, and hold periods. Final decisions should still include taxes, local regulations, and detailed due diligence.