Cap Rate & Cash-on-Cash Calculator
Size up an income property in seconds: cap rate, cash-on-cash return, and the value the income supports at the market's cap rate.
Cap rate
6.12%
On $18,360 NOI
Cash-on-cash
0.47%
On $84,000 invested
Annual cash flow
$397
Annual debt service
$17,963
DSCR
1.02x
Gross rent multiplier
10.4x
Expense ratio
32.9%
Effective income
$27,360
Value at a 6% cap rate
$306,000
$6,000 above the purchase price — the income supports a higher price.
How it works
The math behind the numbers
- Cap rate = net operating income ÷ purchase price; it ignores financing.
- Cash-on-cash = annual cash flow after debt service ÷ total cash invested.
- Value at the market cap rate = NOI ÷ that cap rate — the income approach to valuation.
These estimates are for educational purposes and aren't financial, lending, or tax advice. Actual rates, costs, and loan terms vary — confirm the numbers with a licensed lender, title company, or tax professional before making decisions.
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