Rental cash flow: become a landlord?

Thinking of keeping your home as a rental when you move, or buying an investment property? See what the rent would really leave you each month after all the costs.

These numbers are estimates only and may not be accurate. They depend on your real interest rate, credit, income and the home's actual taxes and insurance. Contact us for accurate figures; it's free and there's no obligation. The starting interest rate (6.5%) is an example only, not a quote: your rate depends on your credit, loan type, down payment and the market, and can be higher or lower. Change it to see the difference.

The property

Which describes you?

Home value or price ($)

Monthly rent ($)

Current principal & interest ($) without taxes & insurance

Your equity in it ($)

Running costs

Property tax ($ per year) no homestead on a rental

Landlord insurance ($ per year)

HOA ($ per month)

Other ($ per month) lawn, pest, utilities

Vacancy allowance (%)

Property management (%) 0 if you manage it

Repairs & reserves (% of rent)

Investor (DSCR) loans Buying your next home first?

What's next?

Investor (DSCR) loansQualify on the rent, not your income.Go →Business & commercial loansFor bigger projects.Go →Free home value reportKnow your equity.Go →

Common questions

Should I keep my home as a rental when I move?

It can build wealth if the rent covers the payment and costs with some left over. Allow for empty months, repairs and management, and check your insurance, HOA rules and tax position first.

What is a good cash-on-cash return?

It depends on the market and your goals. It measures the yearly cash flow against the cash you put in, so you can compare a rental with other uses of your money.

What is DSCR?

Debt service coverage ratio: the rent divided by the property's payment including taxes, insurance and HOA. Investor (DSCR) loans can qualify you based on this instead of your personal income.

Why include vacancy and repairs if the home is rented now?

Every rental has empty months, repairs and replacements over time. Setting money aside each month gives a realistic picture.

Educational estimate only. Rental income, vacancy and costs vary. Taxes on rental income and on a later sale can be complex; check with a tax professional. Some HOAs and condos restrict rentals.

Educational information only. This page gives general information to help you learn and plan. It is not legal, tax, financial or other professional advice, or an offer to lend. For advice on your situation, talk to a licensed professional. Terms of use