Free housing investor tools

Offer-price calculator.

What purchase price fits your cash-flow assumptions? Start with rent and costs, then work backward through the financing.

Free offer-price tool

Start with the cash flow.
Work back to a price.

Explore a hypothetical price ceiling from your rent, costs, financing and cash-flow target. The editable starting values are teaching examples, not current market data.

Your assumptions

Monthly rent ($)

Vacancy allowance (%)

Monthly operating expenses ($)

Taxes, insurance, management and routine costs. Exclude debt payments and replacement reserves.

Monthly replacement reserve ($)

An allowance for future replacements, kept separate from operating expenses.

Annual fixed interest rate (%)

Loan term (years)

Down payment (%)

Use 0–99.9% for financing. At 100%, cash flow alone cannot determine a price ceiling.

Target monthly cash flow ($)

Cash remaining after operating costs, the reserve, and principal and interest; before income tax.

Fixed closing costs ($)

Enter 0 if none. This cash cost does not change the monthly debt budget.

Initial repairs ($)

Cash needed up front, separate from the ongoing replacement reserve. Enter 0 if none.

Assumes a fully amortizing fixed-rate loan. It does not model interest-only payments, variable rates, balloons, or lender qualification.

Price ceiling under your assumptions

$246,504

Rounded down to the nearest dollar. At the modeled ceiling, principal and interest use the available debt budget, leaving your $250 monthly cash-flow target after reserves.

Monthly debt budget

Scheduled rent: $2,400
Vacancy allowance deducted: $120
Effective rental income: $2,280
Operating expenses deducted: $650
Replacement reserve deducted: $150
Cash available before debt: $1,480
Cash-flow target set aside: $250
Available principal + interest payment: $1,230

Financing & cash needed

Loan principal at the ceiling: $184,878
Down payment: $61,626
Fixed closing costs: $5,000
Initial repairs: $10,000
Initial cash modeled: $76,626

Initial cash is the down payment plus the fixed closing costs and initial repairs you entered. Additional lender reserves or cash held for operating shortfalls are not included.

How the ceiling is calculated

Available debt service equals rent after vacancy, less operating expenses, the replacement reserve and the target cash flow. A nonpositive result cannot support a positive financed purchase price.

The loan principal is the present value of that monthly payment over the entered term at the fixed rate. At 0% interest it is payment multiplied by the number of months. The price ceiling is loan principal divided by the financed share of the purchase price.

Replacement reserves are deducted after operating income. Closing costs and initial repairs increase the cash needed up front; they do not reduce the monthly payment in this model.

This is a hypothetical cash-flow constraint, not a property valuation, recommended bid, lender approval or projected return. Taxes, insurance and loan terms can change with the property and purchase price. Verify them before relying on a scenario. Appreciation, sale proceeds and income taxes are not modeled.

Understand loan payments and closing costs · CFPB

Document the evidence behind your assumptions ↗Compare rental scenarios ↗