Calculated estimate
Enter assumptions and select Calculate.
Cap rate and reverse formulas
NOI = annual property operating income − operating expenses. Cap rate = NOI ÷ property value. Reverse modes calculate property value = NOI ÷ cap rate, or NOI = property value × cap rate.
NOI and scope
NOI is before mortgage principal, mortgage interest, income taxes, and owner financing costs. Negative NOI and cap rate are mathematically valid. No property values, rents, appreciation, market benchmarks, or investment recommendations are retrieved.
Worked example
A property value of 500,000 with 60,000 annual operating income and 20,000 operating expenses has 40,000 NOI and an 8% cap rate.
Calculation boundaries
Results use only your entered assumptions. No lender, credit, annuity-product, insurer, vehicle-price, dealer, property-value, rent-market, or geolocation API is contacted.