Rental Property ROI Calculator
Test a rental before you buy: enter the price, rent, loan and running costs to see monthly cash flow, cap rate and cash-on-cash return. Choose a state to fill in its median home value, two-bedroom Fair Market Rent and property tax rate, then replace them with the deal in front of you.
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Additional Details
Pre-filled: U.S. effective rate on owner-occupied housing, Census ACS 2024 5-year
Additional Details
Monthly Cash Flow
Estimated • Based on your inputs
Annual Cash Flow
-$6,008.71
Cash-on-Cash Return
-8.71%
Detailed Breakdown
Investment Projection
10-Year Projection
| Year | Cash Flow | Cumulative | Equity | Total Return |
|---|---|---|---|---|
| 1 | -$6,009 | -$6,009 | $71,438 | $5,429 |
| 2 | -$5,659 | -$11,668 | $83,322 | $11,654 |
| 3 | -$5,303 | -$16,971 | $95,673 | $18,703 |
| 4 | -$4,939 | -$21,910 | $108,514 | $26,604 |
| 5 | -$4,568 | -$26,479 | $121,866 | $35,388 |
| 6 | -$4,190 | -$30,669 | $135,756 | $45,087 |
| 7 | -$3,804 | -$34,473 | $150,208 | $55,735 |
| 8 | -$3,411 | -$37,884 | $165,251 | $67,367 |
| 9 | -$3,009 | -$40,894 | $180,913 | $80,020 |
| 10 | -$2,600 | -$43,494 | $197,225 | $93,732 |
Disclaimer: This calculator provides estimates for informational purposes only. Results should not be considered financial, tax, or legal advice. Consult a qualified professional for your specific situation.
How this calculator works
Rent collected is the monthly rent less the vacancy allowance. Costs are the principal and interest on the loan (standard amortization), property tax at your rate on the price, insurance, maintenance as a share of the full rent and management as a share of the rent collected. Cash flow is rent collected minus costs. The cap rate is a year of rent collected less operating costs (everything but the loan) divided by the price, so it ignores financing; cash-on-cash return divides a year of cash flow by the cash you put in, the down payment plus closing costs taken as 3% of the price. The 10-year projection raises rent 2% and the value 3% a year. Income tax, depreciation and capital expenditures beyond the maintenance allowance are not modeled.
Source: Zillow ZHVI (June 2026), HUD FY2027 Fair Market Rents and Tax Foundation effective rates (state picker and table) checked
Rental returns at the median home and Fair Market Rent, by state
Each row buys the state's median-valued home and rents it at the two-bedroom Fair Market Rent, with 20% down at 7% for 30 years, 8% vacancy, 10% maintenance, 10% management and insurance at 0.5% of the price. Gross yield is a year of rent divided by the price.
| State | Median price | 2-bedroom FMR | Gross yield | Cap rate | Cash flow per month |
|---|---|---|---|---|---|
| Alabama | $242,000 | $1,175 | 5.8% | 3.4% | -$608 |
| Alaska | $401,000 | $1,539 | 4.6% | 1.9% | -$1,495 |
| Arizona | $423,000 | $1,619 | 4.6% | 2.4% | -$1,418 |
| Arkansas | $229,000 | $1,073 | 5.6% | 3.0% | -$640 |
| California | $776,000 | $2,715 | 4.2% | 1.9% | -$2,930 |
| Colorado | $543,000 | $1,944 | 4.3% | 2.1% | -$1,927 |
| Connecticut | $455,000 | $2,039 | 5.4% | 1.9% | -$1,711 |
| Delaware | $412,000 | $1,753 | 5.1% | 2.7% | -$1,274 |
| Florida | $378,000 | $2,005 | 6.4% | 3.4% | -$955 |
| Georgia | $335,000 | $1,528 | 5.5% | 2.7% | -$1,031 |
| Hawaii | $837,000 | $2,487 | 3.6% | 1.8% | -$3,195 |
| Idaho | $482,000 | $1,372 | 3.4% | 1.5% | -$1,968 |
| Illinois | $299,000 | $1,752 | 7.0% | 2.7% | -$909 |
| Indiana | $262,000 | $1,320 | 6.0% | 3.1% | -$709 |
| Iowa | $241,000 | $1,125 | 5.6% | 2.2% | -$831 |
| Kansas | $253,000 | $1,213 | 5.8% | 2.5% | -$824 |
| Kentucky | $235,000 | $1,177 | 6.0% | 3.1% | -$637 |
| Louisiana | $218,000 | $1,177 | 6.5% | 3.7% | -$494 |
| Maine | $424,000 | $1,755 | 5.0% | 2.1% | -$1,502 |
| Maryland | $436,000 | $2,104 | 5.8% | 2.8% | -$1,305 |
| Massachusetts | $673,000 | $2,598 | 4.6% | 1.9% | -$2,532 |
| Michigan | $270,000 | $1,381 | 6.1% | 2.8% | -$812 |
| Minnesota | $357,000 | $1,532 | 5.1% | 2.2% | -$1,231 |
| Mississippi | $198,000 | $1,095 | 6.6% | 3.8% | -$435 |
| Missouri | $272,000 | $1,266 | 5.6% | 2.7% | -$841 |
| Montana | $476,000 | $1,562 | 3.9% | 1.8% | -$1,837 |
| Nebraska | $284,000 | $1,274 | 5.4% | 2.0% | -$1,043 |
| Nevada | $448,000 | $1,686 | 4.5% | 2.3% | -$1,530 |
| New Hampshire | $523,000 | $2,016 | 4.6% | 1.4% | -$2,188 |
| New Jersey | $585,000 | $2,321 | 4.8% | 1.1% | -$2,584 |
| New Mexico | $321,000 | $1,292 | 4.8% | 2.4% | -$1,070 |
| New York | $526,000 | $2,565 | 5.9% | 2.5% | -$1,721 |
| North Carolina | $340,000 | $1,460 | 5.2% | 2.6% | -$1,075 |
| North Dakota | $294,000 | $1,107 | 4.5% | 1.9% | -$1,107 |
| Ohio | $252,000 | $1,294 | 6.2% | 2.6% | -$790 |
| Oklahoma | $225,000 | $1,141 | 6.1% | 3.1% | -$609 |
| Oregon | $504,000 | $1,710 | 4.1% | 1.7% | -$1,988 |
| Pennsylvania | $294,000 | $1,556 | 6.4% | 2.9% | -$863 |
| Rhode Island | $517,000 | $1,917 | 4.4% | 1.6% | -$2,054 |
| South Carolina | $309,000 | $1,396 | 5.4% | 3.0% | -$883 |
| South Dakota | $326,000 | $1,191 | 4.4% | 1.7% | -$1,276 |
| Tennessee | $339,000 | $1,406 | 5.0% | 2.6% | -$1,069 |
| Texas | $303,000 | $1,517 | 6.0% | 2.5% | -$988 |
| Utah | $542,000 | $1,506 | 3.3% | 1.4% | -$2,231 |
| Vermont | $402,000 | $1,816 | 5.4% | 1.9% | -$1,491 |
| Virginia | $420,000 | $1,791 | 5.1% | 2.4% | -$1,380 |
| Washington | $603,000 | $2,106 | 4.2% | 1.8% | -$2,304 |
| West Virginia | $183,000 | $1,040 | 6.8% | 4.0% | -$371 |
| Wisconsin | $342,000 | $1,275 | 4.5% | 1.4% | -$1,411 |
| Wyoming | $373,000 | $1,107 | 3.6% | 1.6% | -$1,500 |
Median value: Zillow Home Value Index, state series, June 2026. Rent: HUD FY2027 Fair Market Rent, in force 2026-10-01 to 2027-09-30, statewide renter-weighted average for two bedrooms. Property tax: Tax Foundation effective rate on owner-occupied housing (Census ACS 2024 5-year). A Fair Market Rent is generally the 40th-percentile gross rent, tenant-paid utilities included (24 CFR 888.113), not a median or the asking rent of a given unit.
Frequently Asked Questions
What is a good cap rate for a rental property?
It depends on the market and the risk, so compare like with like. Bought at the state median price and let at the two-bedroom Fair Market Rent, with the default costs, the cap rate runs from 1.1% in New Jersey to 4.0% in West Virginia: where prices are high relative to rents, the yield is thin.
Does a rental at the median price cash-flow with a mortgage?
With 20% down at 7% over 30 years and the default vacancy, upkeep, management and insurance, no state's median-priced home earns positive monthly cash flow at its two-bedroom Fair Market Rent. A lower price, a larger down payment or a higher rent changes that; the table shows each state's figures.
How is cash-on-cash return different from cap rate?
Cap rate leaves the loan out; cash-on-cash return counts it. For a $300,000 home rented at $2,000 a month at the U.S. property tax rate, the cap rate is 4.4% and, after a $1,597 monthly mortgage payment, cash-on-cash return is -8.7%.
All Calculators
Arkansas Rental Property ROI Calculator
Free Arkansas rental property ROI calculator. Analyze cash flow, cap rate, and cash-on-cash return using Arkansas's 0.56% property tax rate.
California Rental Property ROI Calculator
Free California rental property ROI calculator. Analyze cash flow, cap rate, and cash-on-cash return using California's 0.7% property tax rate.
Delaware Rental Property ROI Calculator
Free Delaware rental property ROI calculator. Analyze cash flow, cap rate, and cash-on-cash return using Delaware's 0.54% property tax rate.
Florida Rental Property ROI Calculator
Free Florida rental property ROI calculator. Analyze cash flow, cap rate, and cash-on-cash return using Florida's 0.78% property tax rate.
Georgia Rental Property ROI Calculator
Free Georgia rental property ROI calculator. Analyze cash flow, cap rate, and cash-on-cash return using Georgia's 0.79% property tax rate.
Hawaii Rental Property ROI Calculator
Free Hawaii rental property ROI calculator. Analyze cash flow, cap rate, and cash-on-cash return using Hawaii's 0.29% property tax rate.
Idaho Rental Property ROI Calculator
Free Idaho rental property ROI calculator. Analyze cash flow, cap rate, and cash-on-cash return using Idaho's 0.5% property tax rate.
Iowa Rental Property ROI Calculator
Free Iowa rental property ROI calculator. Analyze cash flow, cap rate, and cash-on-cash return using Iowa's 1.33% property tax rate.
Kentucky Rental Property ROI Calculator
Free Kentucky rental property ROI calculator. Analyze cash flow, cap rate, and cash-on-cash return using Kentucky's 0.74% property tax rate.
Michigan Rental Property ROI Calculator
Free Michigan rental property ROI calculator. Analyze cash flow, cap rate, and cash-on-cash return using Michigan's 1.19% property tax rate.
Minnesota Rental Property ROI Calculator
Free Minnesota rental property ROI calculator. Analyze cash flow, cap rate, and cash-on-cash return using Minnesota's 1% property tax rate.
Nevada Rental Property ROI Calculator
Free Nevada rental property ROI calculator. Analyze cash flow, cap rate, and cash-on-cash return using Nevada's 0.5% property tax rate.
New Jersey Rental Property ROI Calculator
Free New Jersey rental property ROI calculator. Analyze cash flow, cap rate, and cash-on-cash return using New Jersey's 1.88% property tax rate.
New Mexico Rental Property ROI Calculator
Free New Mexico rental property ROI calculator. Analyze cash flow, cap rate, and cash-on-cash return using New Mexico's 0.63% property tax rate.
New York Rental Property ROI Calculator
Free New York rental property ROI calculator. Analyze cash flow, cap rate, and cash-on-cash return using New York's 1.3% property tax rate.
North Carolina Rental Property ROI Calculator
Free North Carolina rental property ROI calculator. Analyze cash flow, cap rate, and cash-on-cash return using North Carolina's 0.66% property tax rate.
North Dakota Rental Property ROI Calculator
Free North Dakota rental property ROI calculator. Analyze cash flow, cap rate, and cash-on-cash return using North Dakota's 0.92% property tax rate.
Ohio Rental Property ROI Calculator
Free Ohio rental property ROI calculator. Analyze cash flow, cap rate, and cash-on-cash return using Ohio's 1.36% property tax rate.
Oklahoma Rental Property ROI Calculator
Free Oklahoma rental property ROI calculator. Analyze cash flow, cap rate, and cash-on-cash return using Oklahoma's 0.79% property tax rate.
Oregon Rental Property ROI Calculator
Free Oregon rental property ROI calculator. Analyze cash flow, cap rate, and cash-on-cash return using Oregon's 0.81% property tax rate.
South Carolina Rental Property ROI Calculator
Free South Carolina rental property ROI calculator. Analyze cash flow, cap rate, and cash-on-cash return using South Carolina's 0.49% property tax rate.
Vermont Rental Property ROI Calculator
Free Vermont rental property ROI calculator. Analyze cash flow, cap rate, and cash-on-cash return using Vermont's 1.51% property tax rate.
West Virginia Rental Property ROI Calculator
Free West Virginia rental property ROI calculator. Analyze cash flow, cap rate, and cash-on-cash return using West Virginia's 0.51% property tax rate.
Wisconsin Rental Property ROI Calculator
Free Wisconsin rental property ROI calculator. Analyze cash flow, cap rate, and cash-on-cash return using Wisconsin's 1.32% property tax rate.