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Rental Property Cash Flow Calculator

Analyze your investment returns and monthly cash flow

Loan Details

Income & Expenses

(HOA, Repairs, Vacancy, Management)

Please enter valid numeric values greater than zero.

Investment Analysis

Monthly Cash Flow

$0.00

Cash on Cash Return

0.00%

Monthly Mortgage

$0.00

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Total Monthly Income: $0.00

Total Monthly Expenses: $0.00

(Includes Mortgage, Tax, Insurance, & Other Expenses)

function calculateCashFlow() { // Get Input Values var price = parseFloat(document.getElementById('prop_price').value); var down = parseFloat(document.getElementById('down_payment').value); var rate = parseFloat(document.getElementById('interest_rate').value); var term = parseFloat(document.getElementById('loan_term').value); var rent = parseFloat(document.getElementById('monthly_rent').value); var otherExp = parseFloat(document.getElementById('monthly_expenses').value); var tax = parseFloat(document.getElementById('annual_tax').value); var ins = parseFloat(document.getElementById('annual_insurance').value); // Validation var errorDiv = document.getElementById('calc-error'); var resultsDiv = document.getElementById('calc-results'); if (isNaN(price) || isNaN(down) || isNaN(rate) || isNaN(term) || isNaN(rent) || isNaN(otherExp) || isNaN(tax) || isNaN(ins)) { errorDiv.style.display = 'block'; resultsDiv.style.display = 'none'; return; } if (price <= 0 || term 0) { cocReturn = (annualCashFlow / down) * 100; } // Display Results document.getElementById('res_mortgage').innerText = '$' + mortgagePayment.toFixed(2); document.getElementById('res_income').innerText = '$' + rent.toFixed(2); document.getElementById('res_expenses').innerText = '$' + totalMonthlyExpenses.toFixed(2); var cashFlowEl = document.getElementById('res_cashflow'); cashFlowEl.innerText = '$' + monthlyCashFlow.toFixed(2); cashFlowEl.style.color = monthlyCashFlow >= 0 ? '#27ae60' : '#c0392b'; // Green if pos, Red if neg var cocEl = document.getElementById('res_coc'); cocEl.innerText = cocReturn.toFixed(2) + '%'; cocEl.style.color = cocReturn >= 0 ? '#3498db' : '#c0392b'; // Show results resultsDiv.style.display = 'block'; }

How to Calculate Rental Property Cash Flow

Investing in real estate is a powerful way to build wealth, but the difference between a profitable asset and a financial liability often comes down to one metric: Cash Flow. Our Rental Property Cash Flow Calculator helps investors determine if a property will generate positive monthly income after all expenses are paid.

The 50% Rule vs. Specific Calculation

While many investors use "rules of thumb" like the 1% Rule (monthly rent should be 1% of the purchase price) or the 50% Rule (50% of income goes to expenses), these are rough estimates. To accurately assess ROI, you must calculate the exact Cash on Cash (CoC) return using specific inputs.

Understanding the Formula

This calculator uses a standard real estate investment formula to determine profitability:

• Gross Income: Total monthly rent collected.
• Operating Expenses: Includes property taxes, insurance, HOA fees, maintenance reserves, vacancy buffers, and property management fees.
• Net Operating Income (NOI): Gross Income minus Operating Expenses.
• Cash Flow: NOI minus Mortgage Debt Service (Principal & Interest).

What is a Good Cash on Cash Return?

Cash on Cash Return measures the annual cash income earned on the cash you invested (down payment). It is calculated as:

(Annual Cash Flow / Total Cash Invested) x 100

A "good" return varies by market and strategy:

• 8-12%: Generally considered a solid return for long-term buy-and-hold rentals.
• 15%+: Often achievable in high-cash-flow markets or with value-add strategies (BRRRR).
• Under 5%: May be acceptable in high-appreciation markets where the primary goal is equity growth rather than immediate income.

Example Calculation

Imagine you purchase a property for $200,000 with a $40,000 down payment. The monthly rent is $2,000.

If your mortgage is $1,000/mo and taxes/insurance/repairs total $600/mo, your total outflow is $1,600. This leaves you with $400 monthly cash flow ($4,800/year). Your Cash on Cash return would be ($4,800 / $40,000) = 12%.