Cap rate

Cap rate = NOI / property value. NOI = effective rent − operating expenses (excludes mortgage). 4–6% is typical for low-risk markets, 8%+ for higher-risk.

Frequently Asked Questions

Is the Cap Rate Calculator free to use?

Yes, the Cap Rate Calculator is 100% free to use. There are no subscriptions, no sign-ups, and no hidden fees.

Is my data safe when using the Cap Rate Calculator?

Absolutely. All calculations performed by the Cap Rate Calculator happen locally in your web browser. We do not store, track, or transmit your inputs or results to any server.

How accurate is the Cap Rate Calculator?

Our Cap Rate Calculator uses industry-standard formulas and methodology. You can view the exact formula and calculation logic used in the methodology section above to verify the math yourself.

Can I use the Cap Rate Calculator on my mobile phone?

Yes! The Cap Rate Calculator is fully responsive and works seamlessly on all devices including smartphones, tablets, and desktop computers.