.rental-rate-wrapper {
font-family: -apple-system, BlinkMacSystemFont, "Segoe UI", Roboto, Helvetica, Arial, sans-serif;
max-width: 800px;
margin: 0 auto;
color: #333;
line-height: 1.6;
}
.rental-calc-box {
background: #f8f9fa;
border: 1px solid #e9ecef;
border-radius: 8px;
padding: 30px;
margin-bottom: 40px;
box-shadow: 0 4px 6px rgba(0,0,0,0.05);
}
.rental-calc-title {
font-size: 24px;
font-weight: 700;
margin-bottom: 20px;
color: #2c3e50;
text-align: center;
border-bottom: 2px solid #007bff;
padding-bottom: 10px;
}
.calc-row {
display: flex;
flex-wrap: wrap;
margin: 0 -10px;
}
.calc-col {
flex: 1;
min-width: 250px;
padding: 0 10px;
margin-bottom: 20px;
}
.input-group {
margin-bottom: 15px;
}
.input-label {
display: block;
font-weight: 600;
margin-bottom: 8px;
font-size: 14px;
color: #495057;
}
.input-field {
width: 100%;
padding: 12px;
border: 1px solid #ced4da;
border-radius: 4px;
font-size: 16px;
transition: border-color 0.2s;
}
.input-field:focus {
border-color: #007bff;
outline: none;
box-shadow: 0 0 0 3px rgba(0,123,255,0.25);
}
.calc-btn {
width: 100%;
background-color: #007bff;
color: white;
border: none;
padding: 15px;
font-size: 18px;
font-weight: bold;
border-radius: 4px;
cursor: pointer;
transition: background-color 0.2s;
margin-top: 10px;
}
.calc-btn:hover {
background-color: #0056b3;
}
.results-area {
margin-top: 30px;
background: white;
border: 1px solid #dee2e6;
border-radius: 6px;
padding: 20px;
display: none;
}
.result-row {
display: flex;
justify-content: space-between;
align-items: center;
padding: 12px 0;
border-bottom: 1px solid #eee;
}
.result-row:last-child {
border-bottom: none;
}
.result-label {
font-size: 16px;
color: #6c757d;
}
.result-value {
font-size: 18px;
font-weight: 700;
color: #212529;
}
.big-result {
text-align: center;
padding: 20px 0;
background-color: #e8f4fd;
border-radius: 6px;
margin-bottom: 20px;
}
.big-result .label {
display: block;
font-size: 14px;
text-transform: uppercase;
letter-spacing: 1px;
color: #007bff;
margin-bottom: 5px;
}
.big-result .value {
font-size: 36px;
font-weight: 800;
color: #2c3e50;
}
.metric-badge {
display: inline-block;
padding: 4px 8px;
border-radius: 4px;
font-size: 12px;
font-weight: bold;
margin-left: 10px;
}
.badge-good { background-color: #d4edda; color: #155724; }
.badge-warn { background-color: #fff3cd; color: #856404; }
.badge-bad { background-color: #f8d7da; color: #721c24; }
.article-content h2 {
margin-top: 40px;
color: #2c3e50;
}
.article-content h3 {
color: #495057;
margin-top: 25px;
}
.article-content ul {
margin-bottom: 20px;
padding-left: 20px;
}
.article-content li {
margin-bottom: 10px;
}
function calculateRentalRate() {
// 1. Get Inputs
var propValue = parseFloat(document.getElementById('propMarketValue').value);
var mortgage = parseFloat(document.getElementById('monthlyMortgage').value);
var fixedCosts = parseFloat(document.getElementById('monthlyFixedCosts').value);
var maint = parseFloat(document.getElementById('maintenanceReserve').value);
var profit = parseFloat(document.getElementById('targetCashFlow').value);
var vacancyPercent = parseFloat(document.getElementById('vacancyRate').value);
// 2. Validate Inputs (Handle edge cases where fields are empty)
if (isNaN(propValue)) propValue = 0;
if (isNaN(mortgage)) mortgage = 0;
if (isNaN(fixedCosts)) fixedCosts = 0;
if (isNaN(maint)) maint = 0;
if (isNaN(profit)) profit = 0;
if (isNaN(vacancyPercent)) vacancyPercent = 0;
// 3. Calculation Logic
// Total hard costs per month
var totalExpenses = mortgage + fixedCosts + maint;
// The net amount needed to cover costs + profit
var netNeeded = totalExpenses + profit;
// Adjust for vacancy.
// Formula: Gross Rent * (1 – VacancyRate) = NetNeeded
// Therefore: Gross Rent = NetNeeded / (1 – VacancyRate)
var vacancyFactor = 1 – (vacancyPercent / 100);
var grossRent = 0;
var vacancyBuffer = 0;
if (vacancyFactor > 0) {
grossRent = netNeeded / vacancyFactor;
vacancyBuffer = grossRent – netNeeded;
} else {
// If vacancy is 100% (user error), handle gracefully
grossRent = netNeeded;
}
// Break Even (Costs only, adjusted for vacancy to ensure costs are covered)
var breakEven = 0;
if (vacancyFactor > 0) {
breakEven = totalExpenses / vacancyFactor;
} else {
breakEven = totalExpenses;
}
// Rent to Value Ratio
var rtv = 0;
if (propValue > 0) {
rtv = (grossRent / propValue) * 100;
}
// 4. Update Display
document.getElementById('finalRent').innerText = '$' + grossRent.toLocaleString(undefined, {minimumFractionDigits: 2, maximumFractionDigits: 2});
document.getElementById('breakEven').innerText = '$' + breakEven.toLocaleString(undefined, {minimumFractionDigits: 2, maximumFractionDigits: 2});
document.getElementById('totalExpenses').innerText = '$' + totalExpenses.toLocaleString(undefined, {minimumFractionDigits: 2, maximumFractionDigits: 2});
document.getElementById('vacancyAmount').innerText = '$' + vacancyBuffer.toLocaleString(undefined, {minimumFractionDigits: 2, maximumFractionDigits: 2});
document.getElementById('rtvRatio').innerText = rtv.toFixed(2) + '%';
// RTV Analysis Badge
var rtvBadge = document.getElementById('rtvAnalysis');
if (propValue > 0) {
if (rtv >= 1.0) {
rtvBadge.innerHTML = 'Strong Yield Meets the 1% Rule.';
} else if (rtv >= 0.7) {
rtvBadge.innerHTML = 'Average Yield Typical for appreciation markets.';
} else {
rtvBadge.innerHTML = 'Low Yield Rent is low relative to asset value.';
}
} else {
rtvBadge.innerHTML = ";
}
// Show results
document.getElementById('resultContainer').style.display = 'block';
}
Monthly Rental Rate Calculator
(Taxes, Insurance, HOA)
(Estimated funds for repairs)
(Desired positive cash flow)
(Buffer for empty months)
Recommended Monthly Rent
$0.00
Break-Even Point (Zero Profit):
$0.00
Total Monthly Expenses:
$0.00
Vacancy Buffer Included:
$0.00
Rent to Value Ratio:
0%
How to Calculate Monthly Rental Rate
Determining the correct monthly rental rate is the single most critical decision a landlord makes. Set the price too high, and your property sits vacant, bleeding money every month. Set it too low, and you leave potential profit on the table or, worse, fail to cover your operating expenses. This calculator uses the "Cost-Plus" approach combined with vacancy adjustments to help you find a sustainable rental price.
1. The Break-Even Calculation
Before considering profit, you must know exactly how much the property costs you to hold every month. This is your "floor" price. If you rent below this number, you are subsidizing your tenant's housing.
- Mortgage: Principal and interest payments.
- Fixed Costs: Property taxes, hazard insurance, and HOA fees (if applicable).
- Maintenance Reserve: A crucial but often overlooked metric. You should budget 5-10% of the rent or a flat fee (e.g., $150/month) for future repairs like water heaters, painting, or roof patches.
2. Factoring in Vacancy
Properties do not stay occupied 100% of the time. A prudent landlord calculates a rental rate that accounts for vacancy. The industry standard is often 5% to 8%, which assumes the unit might be empty for a few weeks every year during turnover. This calculator adds a buffer to your required rent to ensure your annual income goals are met even if the property sits empty for a short period.
3. The 1% Rule and Rent-to-Value Ratio
Real estate investors often use the "1% Rule" as a quick screening tool. Ideally, the monthly rent should be approximately 1% of the total property value. For example, a $200,000 home should rent for roughly $2,000.
- 0.8% – 1.1%: This is generally considered a strong investment range in many markets.
- Below 0.5%: It is difficult to cash flow positively unless you have a very large down payment or no mortgage.
- Above 1.2%: Excellent cash flow potential, typically found in lower-cost areas or multi-unit properties.
4. Market Comparables (Comps)
While this calculator tells you what you need to charge to meet your financial goals, the market dictates what you can charge. Always cross-reference your calculated figure with similar listings in your neighborhood. If your "Required Rent" is $2,500 but similar houses are renting for $2,000, you may need to lower your profit expectations or reconsider the investment.