Rental Property Calculator
Run the buy-box math on any rental: effective rent after vacancy, operating expenses, the mortgage payment, and what's left over — plus cap rate, cash-on-cash return, and the 1% rule check.
Monthly cash flow
$121
Left over each month after expenses and the mortgage.
Monthly breakdown
| Effective rent (after vacancy) | $2,280 |
|---|---|
| Operating expenses | −$662 |
| Mortgage (P&I) | −$1,497 |
| Cash flow | $121 |
Cash invested: $75,000 (down payment).
Common questions
What is a good cap rate?
It depends on the market: 4–6% is common in expensive coastal cities, 7–10%+ in cheaper cash-flow markets. A higher cap rate usually means higher perceived risk or lower expected appreciation — compare properties within the same market, not across the country.
What is the 1% rule?
A quick screening heuristic: monthly rent should be at least 1% of the purchase price (a $200,000 property should rent for $2,000/month). It rarely holds in expensive markets and is a filter, not a decision — run the full cash-flow analysis before making an offer.
Cash flow vs. cash-on-cash return — what's the difference?
Cash flow is dollars per month left after all expenses and the mortgage. Cash-on-cash return divides annual cash flow by the cash you actually invested (down payment plus closing costs), so it tells you what your money earns. A deal can cash-flow nicely but still show a weak return if you put too much down.