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Cap Rate Calculator
Calculate capitalization rates to evaluate investment properties and compare opportunities. Understand your true return potential.
Property Value
$
Annual Income
$
$
0%10%20%
Annual Operating Expenses
Operating expenses exclude mortgage/debt service for cap rate calculation
$
$
$
$
$
Want to analyze total returns? Use our ROI Calculator
Cap Rate
6.39%
Good
Annual NOI
$22,370
Gross Rent Multiplier
10.4x
AI Investment Insights
Cap Rate Scale
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Your cap rate: 6.39% (Good)
Typical residential cap rates range from 4-10% depending on location and property type.
Operating Expense Breakdown
$9,550
per year
Property Tax
$3,000Insurance
$1,200Management
$2,554Maintenance
$1,596Repairs
$1,200Annual Summary
Gross Annual Income$33,600
Less: Vacancy (5%)-$1,680
Effective Gross Income$31,920
Operating Expenses-$9,550
Net Operating Income (NOI)$22,370
Property Value$350,000
Cap Rate (NOI ÷ Value)6.39%
Ready to analyze your investment's cash flow?
Use our Cash Flow Calculator to see your monthly returns after financing costs.