Real Estate NOI & Cap Rate Calculator

Calculate Net Operating Income from gross rental income by deducting vacancy, operating expenses, management fees, and reserves. Determine property value from NOI and cap rate, and assess year-over-year NOI growth and cap rate sensitivity.

Principal ($)
Annual Rate (%)
Years
Compounding / Year
$ Finance Disclaimer: These calculators are for educational and illustrative purposes only. Results do not constitute financial advice. Consult a licensed financial advisor before making investment or borrowing decisions.
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How It Works

Calculate Net Operating Income from gross rental income by deducting vacancy, operating expenses, management fees, and reserves. Determine property value from NOI and cap rate, and assess year-over-year NOI growth and cap rate sensitivity

Each component has a specific meaning:

  • Gross rental income by deducting vacancy — The gross rental income by deducting vacancy recorded for the scenario being assessed.
  • Operating expenses — The operating expenses recorded for the scenario being assessed.
  • Management fees — The management fees recorded for the scenario being assessed.
  • Reserves — The reserves recorded for the scenario being assessed.

Note: Interpret the noi & cap rate result against the thresholds and context described above.

How to Use

Enter the gross rental income by deducting vacancy, operating expenses, management fees, reserves for the scenario you are assessing. Calculate Net Operating Income from gross rental income by deducting vacancy, operating expenses, management fees, and reserves. Determine property value from NOI and cap rate, and assess year-over-year NOI growth and cap rate sensitivity. Use the noi & cap rate result to inform your calculation.

Frequently Asked Questions