Compute cap rate, cash-on-cash return, NOI, DSCR, and ROI from user-provided purchase price, rent, financing, and expenses. Sanity check for an investment property; not investment advice.

Rental Yield Calculator

Sanity-check a rental property deal in 60 seconds. Cap rate, cash-on-cash, NOI, DSCR, 5-year ROI scenarios, and what could go wrong.

What it does

You feed the AI a purchase price, financing structure, rent, and expenses. It returns: 1. Headline numbers (GRM, cap rate, cash-on-cash, DSCR, monthly cash flow) 2. Income statement (monthly figures, gross → NOI → cash flow) 3. Capital structure (cash to close, loan, LTV) 4. 5-year ROI scenarios (low/base/high) 5. What could go wrong (sensitivity: vacancy +5pp, rent −10%, rate +100bps, capex hit) 6. Verdict (strong / marginal / weak / pass) with one-line why 7. Explicit list of every default assumption applied

When to use it

Pre-offer: is this deal in the right ballpark?
Comparing two deals side-by-side.
Stress-testing: does it still work if rent is 10% lower than I'm hoping?
Teaching someone new how to think about a rental.

When NOT to use it

For a tax-optimized return calc with depreciation and your specific bracket. Get a CPA.
For commercial 5+ multifamily underwriting at scale. The metrics apply but the loan structures, OPEX assumptions, and brokerage are different — get a real commercial underwriter.
For market-direction speculation. The skill uses modest defaults; if you want to model rent growing 8%/year, you're free to override but the skill won't suggest that.

Setup

None. Pure AI prompt.

Invocation

@rental-yield-calculator
PURCHASE: $385,000 purchase, $8,000 closing, $15,000 cosmetic rehab
FINANCING: 25% down, 7.0% rate, 30-year fixed
RENT: $2,400/mo market rent, 5% vacancy
EXPENSES:
  property tax: $4,200/yr
  insurance: $1,400/yr
  HOA: none
  property management: self (0%)
  maintenance: 5% of gross
  capex reserve: 5% of gross
HOLDING: 5 years
THRESHOLD: 8% cap rate, 10% cash-on-cash minimum to be interesting

What it won't do

Compute after-tax / depreciation-adjusted returns (needs your bracket — get a CPA).
Tell you to buy or pass (gives the verdict and reasoning; you decide).
Speculate about market rent growth or appreciation beyond modest defaults.
Help structure tax-avoidance schemes.
Invent income or expenses your input didn't include.