---
title: "Cap Rate Calculator for Rental Property | MCC Solutions"
description: "Enter price, rent, vacancy and operating expenses to get net operating income and cap rate. Free and private."
url: "https://mcc-solutionsnj.com/bookkeeping/cap-rate-calculator"
---

Free tool

# Cap rate calculator

## Overview

Estimate the return on a rental property before financing.

[![Intuit ProAdvisor Gold tier badge](/img/credentials/intuit-proadvisor-gold.png)](https://proadvisor.intuit.com/app/accountant/search?searchId=matthew-coleman77)Gold tier in Intuit's ProAdvisor program. [See my Intuit listing](https://proadvisor.intuit.com/app/accountant/search?searchId=matthew-coleman77)

Keeping your own books? Tallyfinch does invoices, bank import and reports on your computer. [See Tallyfinch](/bookkeeping/mcc-books-downloadable-bookkeeping-software)

Purchase price ($)

Gross rental income per year ($)

Vacancy allowance (%)

Operating expenses per year ($)

Excel workbook · $29

### Rental Property Deal Analyzer

Enter the price, financing, rent and expenses and see cash flow, cap rate, cash-on-cash return and coverage, with best, expected and worst cases side by side.

[See what is inside ($29)](/toolkits/rental-property-deal-analyzer)14-day full refund

Share

## Put this tool on your own site

Free to use. Paste this where you want it to appear. It runs in the visitor's browser, so nothing they enter is sent to us.

[See every calculator you can embed](/embed)

How it works

## How it works

**NOI = rental income after vacancy minus operating expenses** (leave out mortgage payments). **Cap rate = NOI divided by purchase price.**

Want a second pair of eyes on your books? [A free bookkeeping health check](/bookkeeping/health-check).

FAQ

## About this calculator

**What is a good cap rate?**

It depends on the market, property type and risk. Compare with similar properties in the same area.

**What counts as an operating expense?**

Property tax, insurance, maintenance, management and utilities you pay. Mortgage payments and income tax are not operating expenses.

**Does cap rate include financing?**

No. It looks at the property alone. Cash-on-cash return accounts for the loan.

**Is anything saved?**

No. The math runs in your browser and nothing you enter is sent to us.

**Is this tax or financial advice?**

No. It is a calculator for general information. Check the numbers against your own records, and ask an accountant before you act on them.

Related: [rental yield and gross rent multiplier calculator](/bookkeeping/rental-yield-and-gross-rent-multiplier-calculator), [cash on cash return calculator](/bookkeeping/cash-on-cash-return-calculator). See [all free tools](/free-tools). More free tools: [WACC calculator](/bookkeeping/wacc-calculator), [Operating leverage and break-even](/bookkeeping/operating-leverage-and-break-even-calculator), [DuPont analysis calculator](/bookkeeping/dupont-analysis-calculator), or [see all free tools](/free-tools).

Free

### Month-End Close Checklist (PDF)

The five-day close, one page to print. Enter your email and we send a link to confirm it is yours, then the download. We may email you about new toolkits, and every email has an unsubscribe link.

General information, not tax or legal advice. [How we write and check our tools](/editorial-standards).

Excel workbook

### Rental Property Deal Analyzer

Enter the price, financing, rent and expenses and see cash flow, cap rate, cash-on-cash return and coverage, with best, expected and worst cases side by side.

[See what is inside ($29)](/toolkits/rental-property-deal-analyzer)

Also in the [Landlord Bundle](/toolkits/landlord-bundle): 3 products for $69 instead of $82 separately.

Tallyfinch

### Books you keep on your own computer

Tallyfinch does invoices, bills, bank import, reconciliation and the main reports, in a file you own. $99 once, then $5 a month for updates; the app keeps working if you stop the plan. It does not do payroll or sales tax filing. The free download records up to 60 entries.

[See Tallyfinch](/bookkeeping/mcc-books-downloadable-bookkeeping-software) [Download it free](/tools/pro/trial/mccBooks) [Compare the three apps](/software)

## Want your books and numbers handled?

[Free health check](/bookkeeping/health-check)[Call (908) 444-6373](tel:+19084446373)