This web page contains a live and functional spreadsheet created with
SpreadsheetConverter
. Please enable JavaScript in your web browser for the live calculations to work properly.
Cap Rate Calculator
Calculate the cap rate for a rental investment property.
Purchase price
$
Purchase price:
Enter the total cost to acquire the property plus applicable closing costs (e.g., real estate broker, mortgage broker and legal fees) and set-up costs (e.g., furniture).
Capitalization rate:
A measure of financial return calculated by dividing annual net operating income by your purchase price.
Cap Rate
Monthly rent
$
Monthly operating costs
$
Monthly operating costs:
Enter the monthly costs related to operating a property that the landlord covers. Do not include monthly mortgage costs or costs paid by the tenant.
Monthly operating costs could include: utilities, cable, internet, property taxes, insurance, maintenance, cleaning, security and HOA fees.
Occupancy rate
Occupancy rate:
Enter the average occupancy rate which is the percent of total nights with a tenant in occupancy and paying rent.