GOALS & BUYING BUDGET

Start with your cash.

How much can you invest, and what should it earn? Find your buying budget first. Then see which deals fit.

1 · YOUR MONEY & YOUR GOAL

What are you working with?

Cash available $ This amount covers Down payment % of price My return goal Annual cash-on-cash target % / year

Cash-on-cash means annual rental cash flow after operating expenses and debt payments, divided by down payment + closing costs + repairs. Appreciation and unspent reserves are excluded.

Costs, reserves & financing

Closing costs + prepaid items % of price Repairs + other upfront costs $ Cash to keep in reserve $ Interest rate % / year Amortization years

Example assumptions, not loan quotes. Reserves stay available for future bills; they are separate from repairs and purchase costs. The payment estimate uses a fixed interest rate.

2 · CHECK A PROPERTYWill a deal meet your budget and return?Add its price, rent and expenses, or load your analyzer.

Enter a property or load your current analyzer. This is a separate planning scenario; changing a price here leaves the original analyzer unchanged.

Purchase price $ Units units Average rent / unit $ / month Other property income $ / month Vacancy % Operating expenses + reserves $ / year

Include property taxes, insurance, maintenance, capital reserves, management, utilities and any mortgage insurance in operating costs. Exclude principal and interest, which are calculated separately. Costs remain fixed while a single assumption is changed.

Additional deal criteria

Minimum debt coverage after reserve (DSCR) ×; 0 disablesMinimum cap rate after reserve %; 0 disables

These metrics deduct the entered capital reserve. They are not conventional NOI-based cap rate or lender-specific DSCR. These optional planning targets also constrain the price and rent thresholds. DSCR is not applicable to an all-cash purchase.

Calculated price ceiling

The highest price that fits the cash budget and return goals above. This is a planning limit, not a market valuation or suggested offer.

Rent needed at the asking price

Explore other ways to make the deal work

Each option changes one input and keeps the others fixed. All active targets, including your cash budget, must pass.

Back to the Deal Analyzer →

Know what the budget includes

With a total cash budget: purchase limit = (cash available − repairs − reserve cash) ÷ (down-payment rate + closing-cost rate). With down-payment-only cash: purchase limit = down-payment cash ÷ down-payment rate; closing costs, repairs and reserves require additional funds.

All return targets here are first-year, pre-tax rental income targets. Future appreciation, principal paydown, sale profits and tax benefits belong in the full investment analysis. Compare actual financing fees and terms using the CFPB's mortgage cost guide.