Cap Rate (Capitalization Rate) is the ratio of Net Operating Income to property value. It shows the expected return before financing. A cap rate of 5-8% is typical for residential rentals.

What is a good ROI for rental property?

A healthy rental ROI is typically 8-12% annually. Markets like NYC or San Francisco may yield 4-6% but offer stronger appreciation, while markets like Houston or Dallas can yield 8-14%.

How is the mortgage payment calculated?

Monthly mortgage is calculated using the PMT formula: M = P × [r(1+r)^n] / [(1+r)^n - 1], where P is loan amount, r is monthly interest rate, and n is total months.

What is GRM (Gross Rent Multiplier)?

GRM = Property Price / Annual Gross Rent. A lower GRM means faster payback. Under 10 is generally considered good for residential properties.

What expenses should I include?

Common annual expenses include property taxes (1-2% of value), insurance ($1,000-3,000/yr), maintenance (1% of value/yr), property management (8-10% of rent), HOA fees, and utilities.

Can I export the calculation results?

Yes — Pro and Business plan users can export the full report as PDF, JPG, or Excel. The export includes all metrics, charts, and the complete amortization table.

Does the calculator account for appreciation?

Yes. Enter the expected annual appreciation rate. The calculator shows cumulative equity growth and total return (cash flow + appreciation) over the investment horizon.

Free Tool · No Sign-up Required

Real Estate ROI Calculator

Calculate cap rate, cash-on-cash return, mortgage amortization and total ROI for any rental property. Live charts, export to PDF and Excel.

🏠 Calculator Parameters

Property & Income

Price $450,000

Monthly Rent $2,500

Annual Expenses $9,600

Vacancy 5%

Appreciation 3.0%

Closing Costs 3.0%

Financing

Down Payment 20% · $90,000

Term 30 yrs

Rate 7.50%

💰 All-cash purchase — no mortgage payment. Full rental income goes directly to you as the investor.

📊 Key Metrics

Monthly Cash Flow
—
after mortgage + expenses

Cash-on-Cash Return
—
annual pre-tax return

Cap Rate
—
NOI / property value

Monthly Mortgage

—

principal + interest

GRM

—

gross rent multiplier

Break-even Rent

—

min. rent to cover costs

Total Cash Invested

—

down + closing costs

10-Year Total Return

—

cash flow + appreciation

Interactive Charts

Visualize Your Investment

Monthly Cash Flow Breakdown

Equity Growth Over 30 Years

ROI Comparison

Amortization (Principal vs Interest)

Real Scenarios

Try Real-World Examples

Click any scenario to instantly load real market data into the calculator.

🗽

NYC Studio

1BR in Brooklyn. Competitive market, strong appreciation, tight cash flow.

Load to calculate

🤠

Houston SFH

Single-family home in suburbs. High cash flow, moderate appreciation.

Load to calculate

🏙️

Moscow 1BR

Studio in central Moscow. High demand rental market.

Load to calculate

🌉

St. Petersburg 2BR

2-bedroom near city center. Growing tourist and rental demand.

Load to calculate

Amortization Schedule

Year-by-Year Breakdown

Full payment schedule showing principal, interest, remaining balance and cumulative cash flow per year.

Year	Mortgage Paid	Principal	Interest	Balance	Property Value	Cash Flow	Cum. Cash Flow	Total Equity

User Reviews

Trusted by Investors Worldwide

"Finally a calculator that shows real numbers. I used it to analyze 12 properties in Houston and closed on two. The amortization table saved me hours."

Michael R.

Real Estate Investor · Houston, TX

"The chart comparing cap rate, CoC return and total ROI is brilliant. I can now explain investment metrics to my clients in a single screenshot."

Sarah P.

Real Estate Agent · Miami, FL

"I ran all four preset examples in minutes. The NYC vs Houston comparison really shows how appreciation vs cash flow trade-offs work in practice."

James L.

Property Analyst · New York, NY

"Использую калькулятор для анализа московской недвижимости. Наконец-то инструмент, который считает реальный денежный поток, а не просто доходность."

АК

Алексей К.

Инвестор в недвижимость · Москва

"Excel export is a game changer for presenting to partners. The PDF report looks professional enough to share directly with lenders. Would love more currencies."

David M.

Portfolio Manager · Chicago, IL

"The chatbot answered my question about GRM at midnight — no account needed. Then the calculator confirmed my numbers. Sold on this platform."

Tracy W.

First-time Investor · Austin, TX

FAQ

Frequently Asked Questions

Cap Rate (Capitalization Rate) is the ratio of Net Operating Income to property value. It measures the expected return before financing. A cap rate of 5–8% is typical for residential rentals in most US markets. NYC or San Francisco may sit at 3–5%, while secondary markets like Memphis or Cleveland can reach 8–12%.

Cash-on-Cash Return measures annual pre-tax cash flow against total cash invested (down payment + closing costs). It's the most practical return metric for leveraged investments because it accounts for mortgage payments. A CoC return of 6–12% is considered healthy for most rental strategies.

Monthly mortgage uses the standard PMT formula: M = P × [r(1+r)^n] / [(1+r)^n − 1], where P is the loan amount, r is the monthly interest rate (annual rate ÷ 12), and n is the total number of monthly payments (years × 12). This gives the fixed principal + interest payment for a fully amortizing loan.

GRM = Property Price ÷ Annual Gross Rent. It tells you how many years of gross rent it would take to pay off the property. A GRM under 10 is generally considered good for residential properties. GRM is a quick screening tool — it doesn't account for expenses or financing, so always pair it with cap rate and CoC return.

Common annual expenses: property taxes (1–2% of value), insurance ($1,000–3,000/yr), maintenance and repairs (1% of property value/yr), property management fee (8–10% of gross rent), HOA fees, utilities paid by owner, landscaping, and reserves for vacancy or capital expenses. The 50% rule of thumb says expenses often equal ~50% of gross rent.

Break-even rent is the minimum monthly rent needed to cover all costs: mortgage payment + monthly expenses share + vacancy provision. If your current rent is above break-even, you have positive cash flow. If below, you're in negative territory. This metric is especially useful for stress-testing your investment if rents drop.

Yes — Pro and Business plan users can export the full report. PDF and JPG exports are available on Pro ($5/mo); Excel export with the full amortization table is available on Business ($35/mo). The exports include all key metrics, charts, and the complete year-by-year schedule. Free users can screenshot the page.

Yes. You can enter any currency amounts — just use the property price and rent fields to input values in rubles. The calculation formulas are currency-neutral. We also have preset examples for Moscow and St. Petersburg. For a fully localized Russian-language version, visit our Russian calculator page.