Know if a rental pays you or costs you, before you make an offer
Plug in the price, the rent and the real costs. You'll get cash flow, cap rate, cash-on-cash return, DSCR, a 10-year projection and a simple A+ to F deal score, so you can spot a bad deal in minutes instead of after closing.
- Free, no sign-up
- Deal score from A+ to F
- 10-year projection
How it works
Run a deal in four steps
Every box comes pre-filled with an example duplex, so you can see how it works before typing anything. Then swap in your numbers.
- 1
Describe the purchase
Price, number of units, down payment, mortgage rate, closing costs and any fix-up budget. - 2
Add rent and costs
Rent per unit, vacancy, taxes, insurance and the reserves most new investors forget, like repairs and big-ticket replacements. - 3
Set growth assumptions
How fast you think value, rent and costs will rise. Keep them modest. Small changes add up over 10 years. - 4
Read the deal score
Results update as you type. Start with the grade and monthly cash flow, then dig into the details below it.
Investment property calculator
Pre-filled with an example duplex. Change any number.
What you'd pay for the property.
How many rentable units. A duplex is 2.
Share of the price you pay in cash. Investment loans often need 20 to 25%.
Your mortgage rate. Ask a lender for a current quote.
How many years the loan is paid over. 30 is common.
Lender, legal and title fees paid at purchase.
Cash you'll spend fixing it up before renting.
Realistic market rent for one unit. Check local listings.
Parking, laundry, storage or pet fees.
Share of the year units sit empty. 5 to 8% is a common starting point.
Yearly property tax. Check the listing or county records.
Landlord insurance per month.
Any utilities you pay as the owner.
Set aside for repairs. 5 to 10% of rent is typical.
What a manager would charge. Keep it in even if you self-manage, your time isn't free.
Savings for big items like a roof or furnace.
Condo or association fees, if any.
How much you expect the value to rise each year.
How much you expect rents to rise each year.
How much you expect costs to rise each year.
Agent and closing costs when you sell, as a % of the sale price.
Deal score
F
Poor Deal
Score: 12/100
Cap Rate
3.4%
Cash on Cash
-9.6%
DSCR
0.57x
NOI (Annual)
$17,040
Monthly Cash Flow
-$1,074.88
Annual Cash Flow
-$12,899
| Year | Gross Rent | NOI | Cash Flow | Equity | Total Return |
|---|---|---|---|---|---|
| 1 | $36,000 | $17,040 | -$12,899 | $143,809 | -25.9% |
| 2 | $36,720 | $17,381 | -$12,558 | $163,344 | -21.4% |
| 3 | $37,454 | $17,728 | -$12,210 | $183,637 | -16.2% |
| 4 | $38,203 | $18,083 | -$11,856 | $204,725 | -10.0% |
| 5 | $38,968 | $18,445 | -$11,494 | $226,644 | -3.1% |
| 6 | $39,747 | $18,814 | -$11,125 | $249,433 | 4.8% |
| 7 | $40,542 | $19,190 | -$10,749 | $273,134 | 13.6% |
| 8 | $41,353 | $19,574 | -$10,365 | $297,791 | 23.4% |
| 9 | $42,180 | $19,965 | -$9,974 | $323,451 | 34.1% |
| 10 | $43,023 | $20,364 | -$9,574 | $350,162 | 46.0% |
Your results, explained
How to read your results
Lenders and seasoned investors look at the same handful of numbers. Here's what each one tells you.
- Deal score (A+ to F)
- A quick grade that blends cap rate, cash-on-cash return, DSCR and monthly cash flow. Use it to triage deals fast, then check the numbers behind it.
- Monthly cash flow
- What's left each month after every cost and the mortgage. Negative means you pay to own it. Most investors want this comfortably positive.
- Cap rate and cash-on-cash
- Cap rate is the property's yearly return ignoring the loan. Cash-on-cash is your yearly cash flow divided by the cash you put in. Many investors aim for 8 to 12% cash-on-cash.
- DSCR
- Rental profit divided by the mortgage payments. 1.0 just covers the loan. Lenders usually want 1.2 or higher.
- 10-year projection
- Year by year rent, profit, cash flow and equity. Total return assumes you sell that year, after selling costs, compared to the cash you put in.
- Change one thing at a time
- Try a higher rate, a lower rent or more vacancy. If the deal only works with perfect numbers, it's not a deal.
This is an educational estimate, not financial, tax or legal advice. It doesn't include income taxes, depreciation or financing fees, and real costs vary a lot by market. Check numbers with local pros before you buy.
The numbers behind a good rental
The Deal Score is a composite grade (A+ through F) that evaluates a property across four key metrics: Cap Rate, Cash on Cash Return, DSCR, and monthly cash flow. Each metric is scored individually and then combined using a weighted average.
An A+ score indicates an exceptional deal across all dimensions. A C score is average and may still work depending on your strategy. Scores below C suggest careful re-evaluation of the deal terms.
Capitalization Rate (Cap Rate) measures a property's return independent of financing. It is calculated as Net Operating Income divided by the purchase price, expressed as a percentage.
A higher cap rate indicates higher potential returns but often comes with higher risk. In major metro areas, cap rates of 4-6% are common, while secondary markets may offer 7-10% or higher.
Cash on Cash Return measures the annual pre-tax cash flow relative to the total cash invested. Unlike cap rate, this metric accounts for financing and shows the actual return on your out-of-pocket investment.
Most investors target 8-12% cash on cash return. Leverage (mortgage financing) can amplify this number above the cap rate when interest rates are favorable.
Net Operating Income (NOI) is the total income from a property after deducting all operating expenses, but before mortgage payments and income taxes. It's the starting point for almost every other rental metric.
Operating expenses include property taxes, insurance, utilities, maintenance, management fees and HOA fees. They don't include mortgage payments or depreciation. This calculator also counts a CapEx reserve (savings for big replacements) as an operating cost, which is the more careful way to look at a deal.
Debt Service Coverage Ratio (DSCR) measures a property's ability to cover its debt obligations. It is calculated as NOI divided by annual debt service (total mortgage payments for the year).
Lenders typically require a DSCR of at least 1.2-1.25, meaning the property generates 20-25% more income than needed to cover debt payments. A DSCR below 1.0 means the property cannot cover its mortgage from rental income alone.
Multi-unit properties (2-4 units for residential, 5+ for commercial) offer diversified income streams. When evaluating:
- Analyze each unit's rent relative to market comparables
- Use higher vacancy rates for properties with more units (more turnover)
- Account for shared and unit-specific expenses separately
- Evaluate the rent roll for lease terms and renewal patterns
- Consider the property's upside potential through value-add renovations
- Factor in economies of scale for property management