What It Does
Takes your arv and estimated rent, then subtracts everything that eats into cash flow: mortgage principal and interest, taxes, insurance (PITI), plus percentage-based reserves for vacancy, maintenance, property management, and capex. The headline number is your Cash Flow per Month. Advanced mode breaks out loan details (LTV, rate, amortization, taxes, insurance) and rent deductions so you can see exactly where the money goes. Defaults rent to 0.75% of ARV as a starting point (close to the 1 percent rule benchmark).
How to Use It
- Enter the arv (auto-fills from Flippin’ Calculator if used).
- Enter or adjust the Estimated Monthly Rent.
- Read the red banner: that is your monthly cash flow.
- Click Advanced to adjust LTV, interest rate, amortization period, annual taxes, annual insurance, and the four reserve percentages (vacancy, maintenance, PM, capex).
- Review the three KPI cards: Loan Amount, PITI (Monthly), and Yearly Cash Flow.
When You Need This
- Evaluating whether a property cash-flows as a rental before you buy.
- Stress-testing a hold scenario at different rent levels or interest rates.
- Running a quick cash on cash sanity check alongside the Wealth Calculator.
- Comparing PM-managed vs. self-managed cash flow by toggling the PM percentage.