Cap Rate Calculator
Calculate your property’s capitalization rate and quickly evaluate its potential investment performance.
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Cap Rate Calculator
Cap Rate = Net Operating Income ÷ Property Value × 100
Understand the number behind the opportunity.
What Is Cap Rate?
Cap rate measures a rental property’s annual net operating income relative to its purchase price or current value. It is a fast way to compare properties on a similar income basis.
How to Calculate Cap Rate
Start with effective gross income, subtract every operating expense to find NOI, then divide NOI by the property value and multiply by 100.
What Is a Good Cap Rate?
There is no universal target. Local market conditions, property class, risk, financing, and your operating strategy all matter. Use cap rate as context—not as a standalone decision.
Cap Rate vs. Cash-on-Cash Return
Cap rate ignores financing and focuses on property operations. Cash-on-cash return includes the cash you put in and the impact of your financing strategy.
Why Cap Rate Matters for Rental Properties
Cap rate gives you a consistent starting point for comparing properties, tracking operations over time, and understanding how expenses affect income performance.
How Seamless Tenants Helps Property Owners
Bring rent, expenses, maintenance, and communication into one clear workflow—so the numbers behind every property stay visible and easier to act on.
