Decision instrument

Rental Income Projector

Need a walkthrough? Read the Rental Income Projection Guide .

Your inputs

Adjust the fields and review the result in this workbench.

Interpretation

How Rental Income Projection works

The Rental Income Projector forecasts your rental property earnings over multiple years, accounting for rent increases, vacancy periods, maintenance costs, and mortgage payments. It generates a detailed year-by-year projection showing cumulative cash flow and equity buildup.

Example

Key features

A realistic example to show how this tool can support an actual decision.

Formula

Annual Net Income = (Monthly Rent x 12 x (1 - Vacancy%)) - Annual Expenses - Annual Mortgage Payments

  • Multi-year rental income projections (up to 30 years)
  • Accounts for annual rent increases and inflation
  • Vacancy rate and expense modeling
  • Cumulative cash flow and equity growth charts

Avoid mistakes

Common mistakes

A few things that can lead to misleading results or poor decisions.

Conservative projections are more reliable. Use 2-3% annual rent increases (aligned with inflation), 8% vacancy, and 1% of property value annually for maintenance. Optimistic assumptions lead to disappointing real-world returns.