Cap Rate Calculator
Calculate capitalization rates instantly to evaluate real estate investments. Analyze NOI, compare properties, and project future returns—all without creating an account.
Calculator Features
Instant Results
Real-time calculations as you type with live preview
Track & Compare
Save calculations and visualize trends over time
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100% free with complete data privacy
Live Cap Rate
6.00%
No Calculations Yet
Enter your property details and click Calculate to see your cap rate analysis
Quick Tip
A cap rate between 5-10% is generally considered good for most markets. Lower cap rates (4-5%) are typical for stable, low-risk properties, while higher cap rates (8-12%) may indicate higher returns but potentially more risk.
How to Calculate Cap Rate in 3 Steps
Enter Property Details
Input your gross annual income, operating expenses, and property value
Get Instant Analysis
See your cap rate with contextual rating and key financial metrics
Compare & Project
Toggle to adjusted mode to forecast future cap rates with different scenarios
Cap Rate = (NOI ÷ Property Value) × 100
NOI (Net Operating Income)
Gross rental income minus operating expenses (taxes, insurance, maintenance, management). Does NOT include mortgage payments.
Property Value
Current market value or purchase price. Use recent comparable sales or professional appraisal for accuracy.
Example: $100,000 gross income - $40,000 expenses = $60,000 NOI. Property value of $1,000,000. Cap Rate = ($60,000 ÷ $1,000,000) × 100 =
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