Work out locally the cap rate and net operating income from property value, annual rent and operating costs - no upload.
No. Everything runs in your browser - your file never leaves your device. How this is verifiable
The cap rate (capitalisation rate) is the key figure for comparing income properties independently of how they are financed. It relates the net operating income to the value of the property. The net operating income (NOI) is the gross annual rent minus the ongoing operating costs - but before interest, principal and taxes. From property value, gross annual rent and operating costs this calculator gives exactly those two numbers: cap rate and net operating income.
The calculation runs entirely locally in your browser, in pure JavaScript - nothing is uploaded and nothing is stored. The cap rate is net operating income divided by property value times 100; the net operating income is gross annual rent minus operating costs. Because financing is deliberately left out, two properties can be compared fairly regardless of how much equity or debt is behind them. For the financed, equity-based return use the cash-on-cash calculator instead. Change an input and everything updates instantly.
An honest note: this is a first orientation, not a full investment appraisal. A higher cap rate means more income per invested value but often comes with higher risk or a weaker location; very low cap rates appear in sought-after locations with expected capital growth. Enter the operating costs as fully as you can (management, maintenance, reserves, insurance, non-recoverable items) so the net income is realistic. The amounts are shown in euros as an example; the maths applies to any currency. Not investment advice.
| Input formats | Form inputs (no file) |
|---|---|
| Processing | Locally in your browser (JavaScript) |
| File upload | None |
Limitations: A first orientation, not a full investment appraisal. The cap rate is deliberately unlevered (before interest, principal and taxes) - for the equity-based return use the cash-on-cash calculator. Enter the operating costs as fully as you can. Amounts in euros as an example - the maths applies to any currency. Not investment advice.
No. The calculation runs entirely locally in the browser (pure JavaScript); nothing is sent or stored.
The gross annual rent minus the ongoing operating costs, but before interest, principal and taxes. It is the numerator of the cap rate. Worked example: 12,000 euros of annual rent minus 2,500 euros of operating costs leave 9,500 euros of net operating income - a cap rate of 3.8 percent on a 250,000 euro market value.
The cap rate compares properties unlevered (relative to value). The cash-on-cash return shows the financed return on the equity you put in. The two complement each other.
Not necessarily. A high cap rate means more income per value, but often more risk or a weaker location. Low cap rates reflect sought-after locations with expected capital growth.