Investment calculator
Enter the price, rent and expenses for a rental property to see whether it pays for itself. The calculator works out the monthly cash flow after the mortgage, the cap rate, the cash-on-cash return on the money you put in, the debt coverage ratio lenders look at, and the rent you need to break even.
Investment calculator
Does the rental pay for itself?
- Monthly cash flow
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- Mortgage payment
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- Cap rate
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- Cash-on-cash return
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- Debt coverage ratio
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- Break-even rent
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- Net operating income
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- Cash to close
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- Principal paid, year one
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- Return, year one
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An estimate for planning, not financial, tax or lending advice. Cap rate is net operating income divided by the purchase price. Cash-on-cash is the year's cash flow divided by the down payment plus closing costs. Year-one return adds the principal you pay down to the cash flow and ignores appreciation and tax. Lenders usually look for a debt coverage ratio of about 1.2 or better on rentals. Rentals you will not live in generally need at least 20% down. Confirm rents with comparable listings and financing with a mortgage broker.
Want real sold prices for a specific neighbourhood? Every community page carries the latest sold data, and our investor service covers what to buy and where.
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