Finance · Property Investment

Price-to-Rent Ratio Calculator

Compare a property purchase price with twelve months of market rent.

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Quick guide

How to use this calculator

  1. Enter a single internally consistent property scenario.
  2. Use the field labels to preserve each page's specific investment, transaction, lease, development, or lodging convention.
  3. Review the calculator-specific boundary before interpreting the result.

Calculation method

Calculation method

Price-to-rent ratio = property price ÷ (monthly market rent × 12).

Entered fixed decimals use exact rational arithmetic except the explicitly approximate IRR root. Money rounds only for display and supported nonzero amounts remain visible.

Worked example

Worked example

A 360,000 property and 3,000 monthly market rent produce a 10× ratio.

Price-to-rent ratio = property price ÷ (monthly market rent × 12).

Supported inputs

Precision and limits

Visible input limits

Amounts accept up to 30 digits and 12 decimal places and are capped at 1e12 per input. Whole-number periods are capped at the page's stated range; rates are capped at 1000%.

International scope

No currency, tax regime, lease law, lender threshold, local market feed, appraisal, or jurisdiction-specific charge is assumed.

Decision boundary

Results are visitor-entered arithmetic scenarios, not appraisals, forecasts, loan approvals, legal or tax determinations, or investment recommendations.

Calculator-specific assumptions

This consumer-oriented screen uses monthly market rent and does not account for expenses, financing, growth, or transaction costs.