.rp-calculator-wrapper {
max-width: 800px;
margin: 0 auto;
font-family: -apple-system, BlinkMacSystemFont, "Segoe UI", Roboto, Helvetica, Arial, sans-serif;
background: #f9f9f9;
padding: 30px;
border-radius: 8px;
box-shadow: 0 4px 15px rgba(0,0,0,0.1);
}
.rp-calc-grid {
display: grid;
grid-template-columns: 1fr 1fr;
gap: 20px;
}
@media (max-width: 600px) {
.rp-calc-grid {
grid-template-columns: 1fr;
}
}
.rp-input-group {
margin-bottom: 15px;
}
.rp-input-group label {
display: block;
margin-bottom: 5px;
font-weight: 600;
color: #333;
font-size: 14px;
}
.rp-input-group input, .rp-input-group select {
width: 100%;
padding: 10px;
border: 1px solid #ddd;
border-radius: 4px;
font-size: 16px;
box-sizing: border-box;
}
.rp-input-group input:focus {
border-color: #0073aa;
outline: none;
}
.rp-section-title {
grid-column: 1 / -1;
font-size: 18px;
font-weight: bold;
color: #0073aa;
margin-top: 10px;
margin-bottom: 10px;
border-bottom: 2px solid #e1e1e1;
padding-bottom: 5px;
}
.rp-btn-container {
grid-column: 1 / -1;
text-align: center;
margin-top: 20px;
}
.rp-calculate-btn {
background-color: #0073aa;
color: white;
border: none;
padding: 12px 30px;
font-size: 18px;
font-weight: bold;
border-radius: 5px;
cursor: pointer;
transition: background 0.3s;
}
.rp-calculate-btn:hover {
background-color: #005177;
}
.rp-results-box {
grid-column: 1 / -1;
background: white;
padding: 20px;
border-radius: 6px;
border-left: 5px solid #0073aa;
margin-top: 20px;
display: none;
}
.rp-result-row {
display: flex;
justify-content: space-between;
padding: 10px 0;
border-bottom: 1px solid #eee;
font-size: 16px;
}
.rp-result-row:last-child {
border-bottom: none;
}
.rp-result-label {
color: #555;
}
.rp-result-value {
font-weight: bold;
color: #222;
}
.rp-highlight {
color: #28a745;
font-size: 18px;
}
.rp-article-content {
max-width: 800px;
margin: 40px auto;
font-family: inherit;
line-height: 1.6;
color: #333;
}
.rp-article-content h2 {
color: #0073aa;
margin-top: 30px;
}
.rp-article-content h3 {
color: #444;
}
.rp-article-content p {
margin-bottom: 15px;
}
.rp-article-content ul {
margin-bottom: 15px;
padding-left: 20px;
}
function calculateRental() {
// Get Input Values
var price = parseFloat(document.getElementById('rp_price').value) || 0;
var closingCosts = parseFloat(document.getElementById('rp_closing').value) || 0;
var downPercent = parseFloat(document.getElementById('rp_down').value) || 0;
var rate = parseFloat(document.getElementById('rp_rate').value) || 0;
var term = parseFloat(document.getElementById('rp_term').value) || 30;
var rent = parseFloat(document.getElementById('rp_rent').value) || 0;
var hoa = parseFloat(document.getElementById('rp_hoa').value) || 0;
var taxAnnual = parseFloat(document.getElementById('rp_tax').value) || 0;
var insAnnual = parseFloat(document.getElementById('rp_ins').value) || 0;
var repairPercent = parseFloat(document.getElementById('rp_repair').value) || 0;
var vacancyPercent = parseFloat(document.getElementById('rp_vacancy').value) || 0;
var capexPercent = parseFloat(document.getElementById('rp_capex').value) || 0;
var managePercent = parseFloat(document.getElementById('rp_manage').value) || 0;
// Calculate Loan
var downPayment = price * (downPercent / 100);
var loanAmount = price – downPayment;
var monthlyRate = rate / 100 / 12;
var numPayments = term * 12;
var mortgagePayment = 0;
if (rate > 0) {
mortgagePayment = loanAmount * (monthlyRate * Math.pow(1 + monthlyRate, numPayments)) / (Math.pow(1 + monthlyRate, numPayments) – 1);
} else {
mortgagePayment = loanAmount / numPayments;
}
// Calculate Monthly Expenses
var taxMonthly = taxAnnual / 12;
var insMonthly = insAnnual / 12;
var repairCost = rent * (repairPercent / 100);
var vacancyCost = rent * (vacancyPercent / 100);
var capexCost = rent * (capexPercent / 100);
var manageCost = rent * (managePercent / 100);
var totalOperatingExpenses = taxMonthly + insMonthly + hoa + repairCost + vacancyCost + capexCost + manageCost;
var totalExpenses = totalOperatingExpenses + mortgagePayment;
// Calculate Returns
var cashFlow = rent – totalExpenses;
var annualCashFlow = cashFlow * 12;
var noi = (rent – totalOperatingExpenses) * 12;
var totalCashInvested = downPayment + closingCosts;
var cocReturn = 0;
if (totalCashInvested > 0) {
cocReturn = (annualCashFlow / totalCashInvested) * 100;
}
var capRate = 0;
if (price > 0) {
capRate = (noi / price) * 100;
}
// Display Results
document.getElementById('res_mortgage').innerText = '$' + mortgagePayment.toFixed(2);
document.getElementById('res_expenses').innerText = '$' + totalExpenses.toFixed(2);
document.getElementById('res_noi').innerText = '$' + (noi / 12).toFixed(2) + ' / mo';
var cfElement = document.getElementById('res_cashflow');
cfElement.innerText = '$' + cashFlow.toFixed(2);
cfElement.style.color = cashFlow >= 0 ? '#28a745' : '#dc3545';
var cocElement = document.getElementById('res_coc');
cocElement.innerText = cocReturn.toFixed(2) + '%';
cocElement.style.color = cocReturn >= 0 ? '#28a745' : '#dc3545';
document.getElementById('res_cap').innerText = capRate.toFixed(2) + '%';
document.getElementById('rp_results').style.display = 'block';
}
Understanding Rental Property Cash Flow
Investing in real estate is a powerful way to build wealth, but simply buying a property and renting it out doesn't guarantee profit. To ensure a smart investment, you must analyze the numbers accurately. This Rental Property Cash Flow Calculator helps investors determine if a potential property will yield a positive return on investment (ROI).
Key Metrics Explained
- Cash Flow: This is the net amount of money moving in or out of the investment each month. Positive cash flow means the property pays for itself and generates profit. It is calculated by subtracting total expenses (including mortgage) from total rental income.
- Cash on Cash Return (CoC): This metric measures the annual return on the actual cash you invested (Down Payment + Closing Costs). A CoC return of 8-12% is generally considered solid for rental properties.
- Cap Rate (Capitalization Rate): This measures the property's natural rate of return independent of financing. It is calculated by dividing Net Operating Income (NOI) by the property's purchase price. It helps compare properties directly, regardless of how they are purchased (cash vs. loan).
- Net Operating Income (NOI): This is the total income minus all operating expenses (taxes, insurance, repairs) but excluding mortgage payments. Lenders use this to assess the property's profitability.
Why Include Vacancy and Repairs?
Novice investors often make the mistake of calculating ROI based solely on Rent minus Mortgage. However, real life happens. Tenants move out, leading to vacancy periods where you earn $0 but still pay the mortgage. Similarly, water heaters break and roofs leak.
Our calculator allows you to set aside a percentage of monthly rent for Vacancy (typically 5-8%), Repairs (5-10%), and Capital Expenditures (CapEx) (5-10%) for major future replacements. Accounting for these "hidden" costs prevents negative cash flow surprises.
Example Calculation
Let's say you buy a property for $200,000 with 20% down ($40,000) and $5,000 in closing costs. Your total cash invested is $45,000.
If the property rents for $2,000/month and your total monthly expenses (mortgage + taxes + insurance + reserves) come to $1,700, your monthly cash flow is $300.
Your annual cash flow is $3,600. Your Cash on Cash return would be:
$3,600 / $45,000 = 8.00%
Use the calculator above to tweak the purchase price, interest rate, and rent to find the "sweet spot" for your next investment.