How the Rental Property Cash Flow Calculator works
Estimate monthly rental property cash flow. Adjust the inputs above, then use the calculate button to generate a fresh estimate based on the numbers you entered.
The result is designed to give you a quick planning number, plus a short breakdown of the major figures behind it. You can reset the form at any time and try a different scenario.
When to use this calculator
Use this rental property cash flow calculator to estimate whether a rental may produce positive or negative monthly cash flow. It is useful for testing rent, vacancy, mortgage payment and operating assumptions before buying or refinancing.
Formula
Monthly cash flow = effective rent - mortgage payment - monthly operating expenses
- Effective rent is monthly rent after vacancy allowance.
- Operating expenses include taxes, insurance, maintenance and management estimates.
- Mortgage payment is subtracted separately from operating costs.
Worked example
For $2,800 monthly rent with 5% vacancy, a $1,800 mortgage payment and estimated operating costs, the calculator estimates monthly cash flow.
Common mistakes
- Ignoring vacancy even in strong rental markets.
- Underestimating maintenance and management costs.
- Treating positive cash flow as guaranteed income every month.
FAQs
What is good rental cash flow?
It depends on the property, financing, risk and goals. Positive cash flow gives more room for surprises.
Should mortgage principal count as an expense?
This calculator uses the full mortgage payment for cash flow because it affects monthly cash needs.
Does this include income tax?
No. Tax treatment depends on your situation and should be reviewed separately.