Rental Property ROI
- NOI = Effective rent − operating expenses (taxes + insurance + maintenance + management + HOA)
- Effective rent = Gross rent × (1 − vacancy %)
- Annual cash flow = NOI − annual debt service
- Cash-on-cash = Annual cash flow ÷ (down payment + closing costs)
- Cap rate = NOI ÷ purchase price
- Total return = Cash flow + year-1 principal paydown + modeled appreciation
Cap Rate
Cap rate = NOI ÷ property value. NOI excludes financing. We grade Excellent (≥10%), Good (7–10%), Fair (5–7%), Poor (<5%).
BRRRR
- All-in cost = Purchase + rehab + closing costs
- Refinance loan = ARV × LTV %
- Cash recovered = min(refinance loan, all-in cost)
- Cash left in = max(0, all-in cost − refinance loan)
- Equity created = ARV − all-in cost
- Infinite return triggered when cash left in = 0 and monthly cash flow > 0
Airbnb Profit
- Booked nights = 365 × occupancy %
- Gross revenue = booked nights × nightly rate
- Cleaning revenue = (booked nights ÷ avg stay length) × cleaning fee
- Net income = Total revenue − management fees − supplies − fixed annual expenses
- ROI = Net income ÷ down payment
Premium projections
10-year projections assume 2.5% annual rent growth and 2% annual expense growth. Property value grows at the user-supplied appreciation rate. Equity = property value − remaining loan balance.
Limitations
Tax effects (depreciation, deductions), refinance opportunities mid-hold, capex events, and exit costs are not modeled in the base calculators. See our disclaimer.