Calculator · Stage 4

Rental Property After-Tax Return

Full underwriting model. Enter your deal parameters and see NOI, cash flow, depreciation, after-tax return, DSCR, cap rate, and a buy/walk signal — before you make an offer.

Educational tool only. This calculator uses simplified assumptions. Results are estimates — not advice. Verify all numbers with your CPA, lender, and property manager before making any investment decision.

Property

Purchase Price ($)

Land Value (% of price)

Land is not depreciable. Typical: 15–30%.

Closing Costs (% of price)

Expected Annual Appreciation (%)

Used for 10-yr equity projection only.

Financing

Down Payment (%)

Interest Rate (%)

Loan Term (years)

Income

Monthly Rent ($)

Vacancy Rate (%)

Use 5–10% for most markets.

Annual Expenses

Property Tax ($/year)

Insurance ($/year)

HOA ($/month)

Property Management (% of rent)

Use 0% if self-managing.

Repairs & Maintenance (% of value/yr)

Typical range: 0.5–1.5%.

CapEx Reserve (% of value/yr)

Roof, HVAC, appliances. Minimum 0.5%.

Tax Inputs

Marginal Tax Rate (%)

Can use passive losses against ordinary income?

Most W-2 earners above $150k AGI: No. See passive loss rules.

Key Metrics

Monthly Mortgage (P+I)

—

Monthly PITI + HOA

—

Net Operating Income

—

Cap Rate

—

DSCR

—

Break-Even Rent / mo

—

Annual Cash Flow

Gross rent —

Vacancy loss —

Effective gross income —

Operating expenses —

NOI —

Debt service —

Pre-tax cash flow —

Depreciation deduction —

Taxable income / (loss) —

Tax benefit (if applicable) —

After-tax cash flow —

Returns on Invested Capital

Down payment —

Closing costs —

Total cash invested —

Cash-on-cash return (pre-tax) —

Cash-on-cash return (after-tax) —

10-Year Equity Projection

Appreciation only — does not include principal paydown or tax benefits.

Projected value (10 yr) —

Appreciation gain —

Estimated depreciation recapture tax (25%) —

Calculator assumptions

· Depreciation: building value ÷ 27.5 years (residential, straight-line)

· Mortgage interest estimated at full-year interest on original balance (simplified; actual declines over time)

· Taxable income = EGI − operating expenses − mortgage interest − depreciation

· Tax benefit only shown if passive loss allowed and taxable income is negative

· DSCR = NOI ÷ annual debt service

· Break-even rent = monthly rent at which cash flow = $0

· Recapture estimate = 10 years of depreciation × 25%

· State taxes, property tax escalation, rent growth not modeled

Real Estate Tax Benefits: Real vs Hype →

ETF vs Rental Property After Tax →

Important

Full disclaimer →