Property Investment Calculator

A property investment calculator takes a property's price, income, expenses and financing and produces the standard return measures: cap rate, gross rent multiplier, cash on cash return, net present value and internal rate of return. A cap rate calculator is the part of that tool that stops before financing.

The measures answer different questions. Cap rate and GRM describe the property alone. Cash on cash adds the loan and measures your money. NPV and IRR add time and the sale, and need a forecast of rents, expenses and exit price.

This site's calculator builds the NOI line by line, computes the cap rate and GRM, and solves for the value the NOI supports at a target cap rate and the rent needed to justify a price. For the leveraged and multi-year measures, the same NOI feeds a cash on cash or DCF calculation. Starting with cap rate is deliberate: it is the one measure that does not depend on assumptions about your financing or the future.

Further reading: Property Investment Calculator on Wikipedia.