This includes the purchase price, closing costs (typically 2-5%), and any immediate renovation or repair costs.

This helps you see how hard your cash is working compared to other investments like the stock market. Quick "Back of the Envelope" Rules

If you are using a mortgage, the calculator must factor in the down payment, interest rate, and monthly principal/interest payments. Essential Real Estate Formulas

A higher cap rate (e.g., 6–10%) often indicates a better return but may come with higher risk.