Rental Property Investment Calculator
Analyze profitability using cash flow, monthly expense estimates, and loan details.
Property & Income (Annual ₹)
Includes tax, insurance, maintenance reserve, HOA fees, etc.
Financing & Equity
Investment Profitability Metrics
Monthly Cash Flow
—
₹/Month
Capitalization Rate (Cap Rate)
—
%
Cash Invested (Down Payment)
—
₹
Financial Breakdown
| Net Operating Income (NOI): | — |
|---|---|
| Monthly Principal & Interest (EMI): | — |
Key Metrics for Rental Property Analysis
The **Rental Property Calculator** determines the financial viability of buying an investment property. Unlike buying a personal home, success in rental property relies entirely on generating positive **Cash Flow** and achieving a healthy **Capitalization Rate (Cap Rate)**.
Net Operating Income (NOI)
NOI is the true annual profit the property generates *before* debt payments.
$$NOI = (\text{Monthly Rent} \cdot 12) – \text{Annual Operating Expenses}$$
Capitalization Rate (Cap Rate)
The Cap Rate measures the expected rate of return purely on the asset’s value, independent of financing (loan). It is crucial for comparing non-debt-based profitability.
$$\text{Cap Rate} = \frac{\text{NOI}}{\text{Purchase Price}} \cdot 100$$
Monthly Cash Flow
Cash Flow is the money left over after paying all expenses, including the monthly loan payment (EMI). A positive cash flow means the property is putting money in your pocket.
$$\text{Cash Flow} = \frac{NOI}{12} – \text{Monthly EMI}$$