Net operating income calculator

Net Operating Income Calculator | NOI Calculator for Real Estate
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Net Operating Income Calculator

Essential for real estate investors. Calculate property and business profitability with precision. Master NOI analysis for smarter investment decisions.

🎯 Free NOI Calculator

Enter your property revenue and operating expenses to calculate Net Operating Income. Essential for cap rate analysis, property valuation, and investment comparison.

Net Operating Income Calculator

Master Property Investment Analysis

NOI is the foundation of real estate valuation—revenue minus operating expenses reveals true property profitability

🏠 Rental Property Evaluation

Calculate NOI for residential rental properties to determine cash flow potential and compare investment opportunities across different markets and property types.

  • Single-family rental analysis
  • Multi-family property evaluation
  • Duplex and triplex assessment
  • Property portfolio optimization

🏢 Commercial Real Estate

Essential for office buildings, retail centers, and industrial properties where NOI directly impacts valuation through capitalization rate analysis.

  • Office building investment
  • Retail center analysis
  • Industrial property evaluation
  • Mixed-use development assessment

📊 Business Profitability

Apply NOI principles to evaluate business operations, focusing on core operational income before financing and tax considerations.

  • Business acquisition analysis
  • Operational efficiency assessment
  • Performance benchmarking
  • Investment opportunity evaluation

💰 Investment Comparison

Use NOI to compare properties and investments on an apples-to-apples basis, independent of financing structure and tax situations.

  • Cap rate calculation foundation
  • Property value estimation
  • Market comparison analysis
  • Investment decision framework

🚀 Professional NOI Analysis

Expert strategies for accurate property evaluation and sophisticated real estate investment decisions

1

Include All Operating Expenses

Don’t forget property taxes, insurance, maintenance, management fees, utilities, and advertising. Missing expenses lead to inflated NOI and poor investment decisions.

2

Exclude Financing and Taxes

NOI should not include mortgage payments, depreciation, or income taxes. These items vary by investor and don’t reflect the property’s operational performance.

3

Use Market Rent, Not Actual

Base calculations on current market rental rates, not existing below-market leases. This gives you the property’s true earning potential for valuation purposes.

4

Account for Vacancy Rates

Reduce gross rental income by realistic vacancy rates for your market (typically 5-10%). Perfect occupancy is unrealistic and leads to overly optimistic projections.

5

Separate Capital Improvements

Don’t include major renovations or capital improvements in operating expenses. These are separate investments that should be evaluated using different metrics.

6

Compare to Market Cap Rates

Divide NOI by current market cap rates to estimate property value. This helps you determine if a property is fairly priced relative to market conditions.

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