Rental yield progression
Gross Rental Yield—Scheduled rent ÷ purchase price
Traditional Cap Rate—NOI ÷ Purchase PriceExcludes modeled CapEx reserve and acquisition costs.
Net Cash Yield on Capital Invested—Net Cash Flow After Reserves ÷ Total Capital InvestedIncludes modeled CapEx reserve and acquisition costs.
Current-income comparison
Rental current net yield—
Alternative current net yield—
Annual Net Income Difference—
Net Yield Difference—
Break-Even Comparison
Shows the alternative yield or monthly rent required for modeled current income to match under the selected assumptions.
Alternative entered yield required—
Equivalent alternative net yield—Net annual income ÷ alternative capital
Monthly rent required—To match modeled alternative income
Income Yield + Assumed Appreciation
Rental Property
- Current net yield
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- Assumed appreciation
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- Illustrative income + appreciation return
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Alternative Investment
- Current net yield
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- Assumed appreciation
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- Illustrative income + appreciation return
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Appreciation is a user-entered assumption, not current income or a guaranteed return. Unrealized appreciation is not taxed in this annual illustration. This is not a multi-year IRR or comprehensive investment-return calculation.
Detailed comparison
| Metric | Rental Property | Alternative Investment |
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Rental cash-flow breakdown
| Cash-flow item | Annual amount |
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Sensitivity Analysis
Rent change
| Scenario | Rental yield | Income difference |
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Vacancy rate
| Vacancy | Rental yield | Income difference |
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Maintenance + CapEx
| Scenario | Rental yield | Income difference |
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Alternative entered yield
| Yield | Net yield | Income difference |
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Simplified tax estimates
| Metric | Rental Property | Alternative Investment |
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Tax estimates do not model all federal, state, or local rules, including passive-activity limitations, depreciation recapture, capital gains, NIIT, AMT, basis adjustments, or jurisdiction interactions.
Qualitative risk comparison
| Characteristic | Rental Property | Marketable Investment |
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| Liquidity | Low | Generally high |
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| Diversification | Single asset / tenant | Depends on investment |
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| Unexpected expenses | Potentially significant | Generally limited |
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| Management effort | Moderate–high | Generally low |
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| Income reliability | Tenant-dependent | Investment-dependent |
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| Transaction costs | High | Generally low |
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| Leverage availability | High | Depends on investment |
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| Tax treatment | Property-specific | Investment-specific |
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