Real Estate Investment ROI Calculator by Avenir Developments

Model your deal in minutes. Enter price, rent, operating costs and optional financing to estimate your Year‑1 Cap Rate, Cash‑on‑Cash Return, multi‑year IRR and expected equity at exit. Pakistan‑ready (Lac/Crore) and useful for any market.

Real Estate Investment ROI Calculator by Avenir Developments

real estate investment roi calculator

What this calculator does (and why it matters)

This calculator helps you understand investment performance from multiple angles: income (Cap Rate), equity efficiency (Cash‑on‑Cash) and total return over time (IRR). By combining rent growth, vacancy, operating costs, loan terms and exit price, you can compare properties, refine assumptions and see how leverage changes outcomes.

REAL ESTATE INVESTMENT ROI CALCULATOR

Plan your deal in minutes. Enter price, rent, costs, and (optional) financing to estimate Cap Rate, Cash-on-Cash, IRR, and projected equity at exit. Optimized for Pakistan (Lac/Crore) and international users.

Basics

Only affects symbols/labels; math is the same.
The total property purchase price (without buyer costs).
2 Crore
Gross monthly rent at handover.
80 Thousand
Percent of annual rent kept aside for vacancy/collection loss.
%
Expected average annual rent increase during holding.
%
How long you’ll hold the property before selling.

Costs & Operating Assumptions

If you also enter an amount, we’ll use the amount.
%
Overrides the percentage if filled.
Stamp duty, registration, legal, transfer, etc.
%
Estimate of yearly taxes based on purchase price.
%
Repairs & maintenance as a percent of gross rent.
%
Sum of fixed annual costs (insurance, HOA, mgmt, misc.).

Financing (optional)

Uncheck for all-cash deals.
Bank markup/interest; nominal annual.
%
Amortization period in years.

Appreciation & Exit

Expected average price growth per year.
%
Brokerage, transfer, legal at exit.
%
 

Quick Guidance

≤5% IRR Conservative 5–8% IRR Fair 8–12% IRR Good ≥12% IRR Strong

This tool is for early decisions. Confirm with your tax advisor, bank term sheet and local byelaws.

How to read results & assumptions

Cap Rate = NOI ÷ Price (Year 1). Cash-on-Cash = (Year-1 cash flow after debt) ÷ equity. IRR is based on annual cash flows plus net sale proceeds after selling costs & loan payoff.

Pakistan context: Down payment and buyer costs vary by city and society; maintenance may be 8–12% of rent; vacancy 3–8% is common but market-dependent. Lac/Crore formatting is shown for PKR.

The tool formats PKR in Lac and Crore and reflects common local considerations: transfer duties vary by city/society (CDA, LDA, SBCA, RDA, DHA), vacancy trends differ by neighborhood, and financing rates can change with policy. International users can switch currencies and keep the same math. Always confirm numbers with your bank, tax advisor and local byelaws.

real estate investment roi tool

Inputs explained (plain English)

✔️ Currency: Labels only; math is currency‑agnostic. PKR shows Lac/Crore words for readability.

✔️ Purchase Price: Total property price excluding buyer costs.

✔️ Monthly Rent (Year 1): Gross rent at handover; the tool annualizes it.

✔️ Vacancy Allowance %: Cushion for empty months and collection loss.

✔️ Rent Growth % / yr: Expected average rent increase during holding years.

✔️ Holding Period: Number of years you plan to hold the property.

✔️ Down Payment % or Amount: Your equity contribution; amount overrides %.

✔️ Buyer Closing Costs %: Stamp duty, transfer, legal, registration, etc.

✔️ Property Tax % of Price: Annual estimate tied to assessed/market value.

✔️ Maintenance % of Rent: Repairs, upkeep and basic management items.

✔️ Insurance / HOA / Other: Fixed annual costs that don’t scale with rent.

✔️ Use Loan?: Choose yes/no; if yes, we use interest rate and term below.

✔️ Interest Rate % (annual): Nominal yearly rate or bank markup.

✔️ Loan Term (years): Amortization horizon for the mortgage/finance.

✔️ Property Appreciation % / yr: Expected annual capital growth.

✔️ Selling Costs %: Brokerage, transfer and legal fees at exit.

avenir developments

Why Choose Avenir Developments

Share your results on WhatsApp and request a free consult. We’ll review the assumptions, pressure‑test the model and outline a practical acquisition strategy.

📑

Architecture, development and investment advisory

With real‑world delivery across residential and commercial assets

🏗️

Tool‑driven feasibility

FAR, GFA, Parking, Staircase, WWR, LEED and ROI calculators to de‑risk early decisions

🛋️

Clear outputs

Numbers investors understand — cap rate, IRR, equity multiple and cash flow timelines

📈

Local know‑how with international standards

Bilingual delivery on request

real estate investment

Who should use this tool?

Designed for property developers and investors, landlords and financial analysists to determine viability of a real estate development project

🧑🏽‍💼

Property investors

Screening apartments, houses and commercial units

🕴🏽

Property Developers & BROKERS

preparing quick feasibility for listings and off‑plan sales

👷🏽‍♀️

Landlords & Analysts

Comparing buy‑to‑let vs short‑stay strategies and financing options. Validating numbers for bank term sheets and investment memos

GET YOUR PERSONAL PROJECT PLAN IN MINUTES

Enter price, rent, operating costs and optional financing to estimate your Year‑1 Cap Rate, Cash‑on‑Cash Return, multi‑year IRR and expected equity at exit. 

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faqs

FAQs ABOUT real estate investment

Get answers to common questions about Real Estate Investment ROI Tool

Rental yield is typically gross rent ÷ price, while cap rate uses Net Operating Income (rent minus vacancy and operating costs). Cap rate is the better benchmark for assets.

IRR Targets vary by market and risk. Many income assets aim for high single‑digit to low double‑digit IRR; development deals can be higher but riskier.

No. Debt can boost equity returns but also increases risk and can push cash flow negative if rates or vacancies rise.

It’s a planning tool. Final returns depend on actual rents, downtime, costs, interest rates, taxes and exit price. Always verify with your advisors.

Yes, but model seasonal occupancy and higher operating/management costs to avoid overstating returns.

faqs

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