Property Details

Enter two values to calculate the third

Solve For

Annual NOI ($)

Gross rent − operating expenses

Property Value ($)

Current market value or purchase price

Cap Rate (%)

Target or market cap rate

NOI Breakdown (Optional)

Gross Annual Rent ($)

Annual Expenses ($)

Cap Rate Benchmarks

Conservative

4–5%

Low risk, prime areas

Moderate

5–7%

Suburban markets

Aggressive

7–10%

Higher risk markets

Speculative

10%+

Very high risk

Cap Rate Gauge

Cap Rate

—

percent (%)

Property Value

—

USD ($)

Net Operating Income

—

per year

Gross Rent Multiplier

—

times annual rent

Cap Rate Formulas

Cap Rate

CR = NOI / Value

Property Value

V = NOI / CR

NOI

NOI = V × CR

NOI Definition

NOI = Rent − Exp

Cap Rate Calculator

Property Details

Step-by-Step Solution

Cap Rate Benchmarks

Cap Rate Formulas