Analysis
Cashflow Calculator
Calculate monthly and annual cashflow from rental income minus all expenses.
- Last updated:
- Editorially reviewed
Inputs
Results
- Monthly Cashflow
- -€100
- Gross Monthly Income
- €1.200
- Total Monthly Expenses
- €1.300
- Annual Cashflow
- -€1.200
- Cashflow Status
- Negative
Run the numbers on a real property
With the address, size and price: financing, tax, cash flow and nearby comparable rents in one analysis.
Cashflow shows whether a property pays for itself each month or requires money from your own pocket. Our cashflow calculator compares monthly rental income against ongoing expenses and calculates the resulting surplus or shortfall.
How to Use This Calculator
The cashflow calculator gives you a clear overview of your property's monthly liquidity position. Here is how to use it:
- Step 1: Enter the monthly cold rent (Kaltmiete) you receive from your tenant.
- Step 2: Enter the monthly mortgage payment (annuity), consisting of interest and principal repayment.
- Step 3: Enter the monthly Hausgeld you pay as an apartment owner to the owners' association (WEG). Because rent is entered as cold rent here, enter only the part you cannot pass on to the tenant. For houses, enter the estimated non-recoverable running costs.
- Step 4: Enter any other monthly expenses such as rental management fees or your own reserve for repairs inside the unit.
Understanding the Results
The cashflow analysis provides a detailed picture of monthly payment flows:
- Gross Monthly Income: The total monthly cold rent you collect as a landlord.
- Total Monthly Expenses: The sum of all monthly costs, including mortgage payment, Hausgeld, and other expenses.
- Monthly Cashflow: The difference between income and expenses. A positive value means the property is self-sustaining and generating a surplus.
- Annual Cashflow: The monthly cashflow multiplied by 12 for an annualized perspective.
- Cashflow Status: A classification of positive, neutral, or negative that shows at a glance how the property is performing financially.
Why This Matters for Investors
Positive cashflow means the property finances itself without additional capital and leaves a surplus every month. If you are building a portfolio, make sure each additional property does not worsen the overall cashflow. Negative cashflow requires monthly subsidies from your personal income, limits financial flexibility, and can quickly become a burden with multiple properties. For apartments, cashflow depends heavily on the Hausgeld, which can vary widely with the age and condition of the building. Check the Hausgeld statement (Hausgeldabrechnung) and whether the association builds up an adequate maintenance reserve (Erhaltungsrücklage). A low purchase price can still turn into a loss when combined with high Hausgeld and low rent.
Frequently Asked Questions
What is a good monthly cashflow?
There is no fixed figure. What matters is that a surplus remains after all costs to absorb unexpected expenses such as repairs or rent defaults. Keep in mind that the loan payment includes principal repayment: with neutral cashflow you are paying down debt without adding money.
What is Hausgeld and why is it important?
Hausgeld is the monthly advance payment to the homeowners' association (WEG) covering operating costs, management costs, and the maintenance reserve (Erhaltungsrücklage). It has a significant impact on cashflow. Management costs and the reserve cannot be passed on to the tenant and are borne directly by the owner.
Should I buy a property with negative cashflow?
Negative cashflow is not automatically a deal-breaker. In growth markets with high appreciation potential, the wealth accumulation through value growth may outweigh the monthly shortfall. However, the negative cashflow should be manageable and must not jeopardize your financial stability. Plan long-term and factor in potential rent increases.
These calculations are for informational purposes only. Consult a professional for financial advice.