Real Estate ROI Calculator

Analyze property returns, Cap Rate, and Cash-on-Cash yield

Purchase Price ($)

Down Payment (%)

Interest Rate (%)

Loan Term (Years)

Gross Monthly Rent ($)

Monthly Operating Expenses ($)

Cash-on-Cash Return

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Cap Rate

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Annual NOI

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Monthly Mortgage P&I

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How to Calculate Real Estate ROI

Enter the property’s Purchase Price and required Down Payment %.
Input financing terms including Interest Rate and Loan Term.
Provide expected Gross Monthly Rental Income.
Specify total estimated Monthly Operating Expenses (taxes, insurance, HOA, maintenance).
Click “Calculate Investment Returns” to view NOI, Cap Rate, and Cash-on-Cash metrics.

Key Property Formulas

NOI = (Monthly Rent – Monthly Expenses) * 12

Cap Rate = (Annual NOI / Purchase Price) * 100

Cash-on-Cash Return = (Annual Net Cash Flow / Total Down Payment) * 100

Frequently Asked Questions (FAQ)

What is a good Cash-on-Cash return for real estate?

A Cash-on-Cash return between 8% and 12% is generally considered strong for standard residential rental properties, though target yields vary based on market appreciation potential and risk profile.

What is the difference between Cap Rate and Cash-on-Cash Return?

Cap Rate measures the property’s yield assuming a 100% cash purchase (ignoring debt). Cash-on-Cash return factors in leverage (mortgage payments) to evaluate actual cash yield on the initial capital invested.