Calculate your property's Net Operating Income with a detailed income and expense breakdown. NOI drives your DSCR, cap rate, and property valuation.
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Need financing based on your NOI? Our advisors match your property's income profile with the right CRE lender.
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NOI is the foundation metric that drives every other CRE calculation.
NOI = Effective Gross Income minus Operating Expenses. Income includes all rent and ancillary revenue, adjusted for vacancy. Expenses include property taxes, insurance, management, maintenance, utilities, and reserves. NOI does NOT include mortgage payments, depreciation, or income taxes.
Multifamily: 35–50% expense ratio. Office: 40–55%. Retail (NNN): 5–15% (tenants pay most expenses). Industrial: 20–35%. If your expense ratio is significantly above these ranges, there may be opportunities to optimize operations and boost NOI.
Revenue side: raise rents to market, add utility reimbursements, reduce vacancy with better marketing, add ancillary income (parking, storage, laundry). Expense side: negotiate property tax appeals, competitive-bid insurance, preventive maintenance programs, and energy efficiency upgrades.
Every calculator we offer, in one place — run the next number your lender will ask about.
Common questions about NOI and CRE property analysis.
NOI measures a property's earning power before financing costs. Cash flow = NOI minus debt service (mortgage payments). Lenders use NOI because it evaluates the property independently of how it is financed. Cash flow tells you what you actually pocket each month.
No. NOI specifically excludes mortgage payments (principal and interest), income taxes, depreciation, and capital expenditures. It only includes operating expenses: property taxes, insurance, management, maintenance, utilities, and reserves.
It varies by property type. Multifamily: 35–50%. Office: 40–55%. NNN Retail: 5–15%. Industrial: 20–35%. If your ratio is significantly higher than these benchmarks, there may be opportunities to cut costs and boost NOI.
Lenders typically want to see reserves (replacement reserves or CapEx reserves) included as an expense. This accounts for future major repairs like roof replacement or HVAC systems. A common reserve amount is $250–$500 per unit per year for multifamily.
NOI directly determines your DSCR (NOI ÷ Debt Service). Most lenders require 1.25x DSCR. So if your NOI is $125K, your max annual debt service is $100K. This caps your loan amount based on rate and term. Higher NOI = larger possible loan.
Yes. Our advisors help identify NOI improvement strategies before you apply — rent adjustments, expense optimization, vacancy reduction. We also match you with lenders who use more flexible NOI calculations or allow projected NOI for value-add deals.
Our advisors analyze your property's income and expenses to maximize your borrowing power — no guesswork, no upfront fees.
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