.rpc-header {
text-align: center;
margin-bottom: 30px;
color: #2c3e50;
}
.rpc-grid {
display: grid;
grid-template-columns: 1fr 1fr;
gap: 20px;
}
@media (max-width: 600px) {
.rpc-grid {
grid-template-columns: 1fr;
}
}
.rpc-input-group {
margin-bottom: 15px;
}
.rpc-input-group label {
display: block;
margin-bottom: 5px;
font-weight: 600;
color: #34495e;
font-size: 14px;
}
.rpc-input-group input {
width: 100%;
padding: 10px;
border: 1px solid #ddd;
border-radius: 4px;
font-size: 16px;
box-sizing: border-box;
}
.rpc-input-group input:focus {
border-color: #3498db;
outline: none;
box-shadow: 0 0 5px rgba(52, 152, 219, 0.3);
}
.rpc-section-title {
grid-column: 1 / -1;
font-size: 18px;
border-bottom: 2px solid #f1f1f1;
padding-bottom: 10px;
margin-top: 20px;
margin-bottom: 15px;
color: #2c3e50;
}
.rpc-btn {
grid-column: 1 / -1;
background-color: #27ae60;
color: white;
border: none;
padding: 15px;
font-size: 18px;
border-radius: 4px;
cursor: pointer;
transition: background 0.3s;
font-weight: bold;
text-transform: uppercase;
}
.rpc-btn:hover {
background-color: #219150;
}
.rpc-results {
margin-top: 30px;
background-color: #f8f9fa;
padding: 20px;
border-radius: 8px;
border-left: 5px solid #3498db;
}
.rpc-result-row {
display: flex;
justify-content: space-between;
margin-bottom: 10px;
padding-bottom: 10px;
border-bottom: 1px solid #e9ecef;
font-size: 16px;
}
.rpc-result-row:last-child {
border-bottom: none;
margin-bottom: 0;
padding-bottom: 0;
}
.rpc-result-label {
color: #7f8c8d;
}
.rpc-result-value {
font-weight: bold;
color: #2c3e50;
}
.rpc-highlight {
color: #27ae60;
font-size: 20px;
}
.rpc-negative {
color: #c0392b;
}
.rpc-article {
margin-top: 40px;
line-height: 1.6;
color: #333;
}
.rpc-article h2 {
color: #2c3e50;
margin-top: 30px;
}
.rpc-article h3 {
color: #34495e;
margin-top: 20px;
}
.rpc-article p {
margin-bottom: 15px;
}
.rpc-article ul {
margin-bottom: 15px;
padding-left: 20px;
}
.rpc-article li {
margin-bottom: 8px;
}
function calculateRentalROI() {
// Get Input Values
var price = parseFloat(document.getElementById('rpc-price').value) || 0;
var closingCosts = parseFloat(document.getElementById('rpc-closing').value) || 0;
var downPayment = parseFloat(document.getElementById('rpc-down').value) || 0;
var rate = parseFloat(document.getElementById('rpc-rate').value) || 0;
var term = parseFloat(document.getElementById('rpc-term').value) || 0;
var rent = parseFloat(document.getElementById('rpc-rent').value) || 0;
var annualTax = parseFloat(document.getElementById('rpc-tax').value) || 0;
var annualIns = parseFloat(document.getElementById('rpc-insurance').value) || 0;
var monthlyMaint = parseFloat(document.getElementById('rpc-maintenance').value) || 0;
// 1. Calculate Mortgage Payment
var loanAmount = price – downPayment;
var monthlyRate = (rate / 100) / 12;
var totalPayments = term * 12;
var mortgagePayment = 0;
if (rate > 0 && term > 0) {
// Standard Amortization Formula: M = P [ i(1 + i)^n ] / [ (1 + i)^n – 1 ]
mortgagePayment = loanAmount * (monthlyRate * Math.pow(1 + monthlyRate, totalPayments)) / (Math.pow(1 + monthlyRate, totalPayments) – 1);
} else if (term > 0) {
// 0% interest case
mortgagePayment = loanAmount / totalPayments;
}
// 2. Calculate Expenses
var monthlyTax = annualTax / 12;
var monthlyIns = annualIns / 12;
var totalMonthlyExpenses = mortgagePayment + monthlyTax + monthlyIns + monthlyMaint;
// 3. Calculate Cash Flow
var monthlyCashFlow = rent – totalMonthlyExpenses;
var annualCashFlow = monthlyCashFlow * 12;
// 4. Calculate Cash on Cash Return
// Total Cash Invested = Down Payment + Closing Costs
var totalCashInvested = downPayment + closingCosts;
var cocReturn = 0;
if (totalCashInvested > 0) {
cocReturn = (annualCashFlow / totalCashInvested) * 100;
}
// 5. Calculate Cap Rate
// NOI = Annual Income – Annual Operating Expenses (Excluding Mortgage)
var annualOperatingExpenses = annualTax + annualIns + (monthlyMaint * 12);
var annualNOI = (rent * 12) – annualOperatingExpenses;
var capRate = 0;
if (price > 0) {
capRate = (annualNOI / price) * 100;
}
// Display Results
document.getElementById('res-mortgage').innerText = formatCurrency(mortgagePayment);
document.getElementById('res-expenses').innerText = formatCurrency(totalMonthlyExpenses);
var flowEl = document.getElementById('res-flow');
flowEl.innerText = formatCurrency(monthlyCashFlow);
flowEl.className = monthlyCashFlow >= 0 ? 'rpc-result-value rpc-highlight' : 'rpc-result-value rpc-highlight rpc-negative';
var annualFlowEl = document.getElementById('res-annual-flow');
annualFlowEl.innerText = formatCurrency(annualCashFlow);
annualFlowEl.className = annualCashFlow >= 0 ? 'rpc-result-value' : 'rpc-result-value rpc-negative';
var cocEl = document.getElementById('res-coc');
cocEl.innerText = cocReturn.toFixed(2) + "%";
cocEl.className = cocReturn >= 0 ? 'rpc-result-value rpc-highlight' : 'rpc-result-value rpc-highlight rpc-negative';
document.getElementById('res-cap').innerText = capRate.toFixed(2) + "%";
// Show results area
document.getElementById('rpc-results-area').style.display = 'block';
}
function formatCurrency(num) {
return "$" + num.toFixed(2).replace(/\d(?=(\d{3})+\.)/g, '$&,');
}
Rental Property Cash Flow Calculator
Analyze your real estate investment deal to determine monthly cash flow and ROI.
Purchase Information
Loan Details
Income & Expenses
Investment Analysis
Monthly Principal & Interest:
$0.00
Total Monthly Expenses:
$0.00
Monthly Cash Flow:
$0.00
Annual Cash Flow:
$0.00
Cash on Cash Return (ROI):
0.00%
Cap Rate:
0.00%
Understanding Rental Property Investment Analysis
Investing in real estate is one of the most reliable ways to build wealth, but it requires precise calculations. A Rental Property Cash Flow Calculator helps investors determine if a specific property will generate profit (positive cash flow) or cost money to hold (negative cash flow).
Key Metrics Explained
When analyzing a potential rental property, you should focus on three primary metrics which this calculator provides:
- Monthly Cash Flow: This is the net amount of money left in your pocket after all expenses are paid. It is calculated as Total Income – Total Expenses. A positive number means the property is profitable on a monthly basis.
- Cash on Cash Return (CoC): This measures the return on the actual cash you invested (Down Payment + Closing Costs/Rehab). Unlike a standard ROI which might look at the total asset value, CoC tells you how hard your specific dollars are working. A CoC of 8-12% is often considered a strong target for residential rentals.
- Cap Rate (Capitalization Rate): This metric evaluates the profitability of the property regardless of how it is financed. It is calculated as Net Operating Income (NOI) / Purchase Price. It allows you to compare different properties directly, without the variable of your specific loan terms.
The 1% Rule
A common "rule of thumb" in real estate investing is the 1% rule. It suggests that for a property to cash flow positively, the monthly rent should be at least 1% of the purchase price. For example, a $200,000 home should rent for $2,000/month. While this rule is harder to find in today's high-interest environment, it remains a useful quick filter before running a full analysis.
How to Improve Your Cash Flow
If the calculator shows a negative or low cash flow, consider these strategies:
- Increase the Down Payment: This lowers your loan amount and monthly mortgage payment.
- Shop for Lower Insurance: Insurance rates vary wildly; getting quotes from brokers can save hundreds annually.
- Value-Add Renovations: Strategic rehab (like new flooring or paint) can significantly increase the rent you can charge, improving both Cash Flow and Cap Rate.
Use this calculator as a preliminary tool for every property you view. Remember to account for vacancy rates and maintenance reserves in your "Monthly Maintenance/Misc" input to ensure your projection is conservative and safe.