Capitalization Rate Calculator
Calculate capitalization rate from the figures you enter.
Formula
- Use the units shown beside each field.
- Results update automatically whenever you change an input.
- Displayed values use up to four decimal places, or scientific notation for very small or large numbers. Calculations use standard floating-point arithmetic; exact integer and fraction tools identify their own precision rules.
- Use comparable figures from the same reporting period. No current market data is retrieved.
Example Calculation
- Annual net operating income: 15000 $
- Property value: 300000 $
Annual net operating income 15000 divided by property value 300000 gives 5%.
Frequently asked questions
How do I use this calculator?
Enter annual net operating income, property value. The result updates automatically. Use Reset to restore the example values.
What method does it use?
Result = Annual net operating income / Property value × 100. Use comparable figures from the same reporting period. No current market data is retrieved.
Why might a rounded result differ?
The calculation keeps full numeric precision internally, then rounds the displayed result. Rounding intermediate steps by hand can produce a slightly different answer.
Are my inputs saved online?
No. This calculator processes your inputs in your browser. A recently used list stores only calculator names on this device, not your entered values.
Check the assumptions and units before using this result. Read about calculation methods.