Enter the rental rate per month ($), the mortgage cost per month ($), and the operation costs per month ($) into the calculator to determine the Rental Profit. 

Rental Profit Formula

The following formula is used to calculate the Rental Profit. 

Prental = RR - MR - OC
  • Where Prental is the Rental Profit ($)
  • RR is the rental rate per month ($) 
  • MR is the mortgage cost per month ($) 
  • OC is the operation costs per month ($) 

To calculate the rental profit, subtract the operating costs per month and the mortgage cost per month from the rental rate per month.

How to Calculate Rental Profit?

The following example problems outline how to calculate Rental Profit.

Example Problem #1

  1. First, determine the rental rate per month ($). In this example, the rental rate per month ($) is given as 2000 .
  2. Next, determine the mortgage cost per month ($). For this problem, the mortgage cost per month ($) is given as  1500 .
  3. Next, determine the operation costs per month ($). In this case, the operation costs per month ($) is found to be 200.
  4. Finally, calculate the Rental Profit using the formula above: 

Prental = RR – MR – OC

Inserting the values from above yields: 

Prental = 2000 – 1500 – 200 = 300 ($)


Example Problem #2

The variables needed for this problem are provided below:

rental rate per month ($) = 3000

mortgage cost per month ($) = 2500

operation costs per month ($) = 100

Entering these values and solving gives:

Prental = 3000 – 2500 – 100 = 400 ($)