NOI Calculator
NOI estimates property income after operating expenses and before debt service. It is a core input for cap rate and DSCR, but it depends on accurate rent, vacancy, and expense assumptions.
Estimates are based on your inputs and assumptions. DealSharp does not provide financial, investment, legal, tax, or lending advice.
Run the number, then pressure-test the assumptions.
NOI estimates property income after operating expenses and before debt service. It is a core input for cap rate and DSCR, but it depends on accurate rent, vacancy, and expense assumptions.
Use this page to understand the metric directionally, then compare it against financing, reserves, repair risk, cash flow, and your own constraints.
Use this working calculator as a starting point, then run the full deal in DealSharp when you need more inputs, side-by-side scenarios, and risk context.
NOI = effective gross income - operating expenses
If gross rent is $36,000, vacancy is $1,800, and operating expenses are $12,000, estimated NOI is $22,200.
Assumptions
Net operating income
Estimated outputs
Scenario snapshot
Scenario estimate based on the inputs shown here. Use the full DealSharp app to compare financing, repairs, vacancy, cash flow, and risk assumptions before deciding.
How to read this number
The useful move is not treating one number as a final answer. Use it to decide which assumptions deserve more review, then compare the result against cash flow, financing, reserves, repair risk, and your own constraints.
Inputs required
- Metric inputs shown in the formula or calculator.
- Income, expense, debt, value, and cash assumptions where relevant.
- Investor-provided numbers that should be checked against source documents.
Outputs explained
- Scenario estimate based on the inputs.
- Plain-English context for comparing the metric.
- Limitations and assumptions to review before relying on the result.
Assumptions to review
- Inputs are estimates supplied by the user.
- Market rent, lender terms, taxes, insurance, repairs, and legal details can change the result.
- DealSharp does not provide financial, investment, legal, lending, tax, or accounting advice.
What this tells you
- NOI shows the property-level operating income before financing.
- It helps compare properties independent of a specific buyer's loan structure.
- It feeds cap rate, DSCR, and valuation discussions.
What this does not tell you
- NOI does not include mortgage payments, income taxes, depreciation, or owner-specific financing.
- It does not verify rent rolls, leases, tax reassessment, or repair reserves.
Common mistakes
- Counting mortgage payments as operating expenses.
- Ignoring vacancy or credit loss.
- Underestimating repairs, management, insurance, taxes, and utilities.
FAQ
Is NOI the same as cash flow?
No. Cash flow usually subtracts debt service from NOI or from income after expenses.
Should CapEx be included in NOI?
Practices vary. For conservative analysis, model CapEx separately and understand how your lender or advisor treats it.
Run the full deal before deciding
This page helps with one metric or workflow. DealSharp is built for full real estate deal analysis: assumptions, financing, cash flow, repair scenarios, DSCR, cap rate, and risk flags based on your inputs.
Open DealSharpDisclaimer
DealSharp provides calculation and scenario-modeling tools for informational purposes only. Outputs are estimates based on your inputs and assumptions. DealSharp does not provide financial, investment, legal, lending, tax, or accounting advice. Verify important decisions with qualified professionals.