Cap Rate Calculator
Calculate capitalization rate instantly. Determine cap rate from property value or property value from cap rate. Essential tool for real estate investors.
Cap Rate Calculation
Property taxes, insurance, maintenance, etc.
How to Use the Cap Rate Calculator
- Choose calculation type (cap rate or property value)
- Enter property value or desired cap rate
- Enter annual rental income
- Enter annual operating expenses (optional)
- Click "Calculate" to see results
Why Use Our Cap Rate Calculator?
- ✓ Calculate cap rate from property value
- ✓ Determine property value from cap rate
- ✓ Calculate net operating income (NOI)
- ✓ Compare investment properties
- ✓ Instant results - no signup required
- ✓ Free to use - calculate as many properties as needed
Frequently Asked Questions
What is cap rate?
Cap rate (capitalization rate) is the ratio of net operating income (NOI) to property value, expressed as a percentage. It measures the return on investment for a property without considering financing.
What is a good cap rate?
Cap rates vary by location and property type. Generally, 4-10% is common, with higher rates indicating higher risk/return. Lower rates (3-5%) are typical for prime locations, while higher rates (8-12%) are common for riskier investments.