Estimate cash flow, cap rate and cash-on-cash return on an investment property.
Understanding the real estate calculation
Enter the price, financing, rent and expenses to see the monthly cash flow, cap rate and cash-on-cash return of a real estate investment.
Step by step
- Enter your figures in the fields provided.
- The result updates as you type.
- Review the breakdown below the main number.
The calculation
cash flow = rent โ expenses โ mortgage
Worked example
On the values this calculator opens with, the monthly cash flow is $352.56. Underneath, Mortgage payment comes out at $1,247.44 and Cap rate at 7.68%. Change any field and every figure updates as you type.
FAQ
What is cap rate?
Net operating income divided by price โ the unleveraged yield.
What is cash-on-cash?
Annual cash flow divided by the cash you invested.