Enter the total rent ($) and the total square footage (ft^2) into the calculator to determine the Rent Per Square Foot. 

Rent Per Square Foot Formula

The following formula is used to calculate the Rent Per Square Foot. 

R/SQFT = TR / SQF
  • Where R/SQFT is the Rent Per Square Foot ($/ft^2)
  • TR is the total rent ($) 
  • SQF is the total square footage (ft^2) 

To calculate the rent per square foot, divide the total rent by the total square footage of livable area.

How to Calculate Rent Per Square Foot?

The following example problems outline how to calculate Rent Per Square Foot.

Example Problem #1:

  1. First, determine the total rent ($). In this example, the total rent ($) is given as 5000.
  2. Next, determine the total square footage (ft^2). For this problem, the total square footage (ft^2) is given as 1100.
  3. Finally, calculate the Rent Per Square Foot using the equation above: 

R/SQFT = TR / SQF

The values given above are inserted into the equation below:

R/SQFT = 5000 / 1100 = 4.54 ($/ft^2)

FAQ

What factors can affect the Rent Per Square Foot calculation?

Rent Per Square Foot can be influenced by several factors including the location of the property, the quality and amenities of the building, the current market demand, and any additional services or utilities included in the rent. For example, properties in high-demand urban areas often have higher rent per square foot compared to those in rural areas.

How can Rent Per Square Foot be used by tenants and landlords?

Tenants can use the Rent Per Square Foot calculation to compare the value of different rental properties on a like-for-like basis, helping them to make more informed decisions. Landlords and property managers can use it to set competitive rent prices based on the current market rates and the specific features of their property.

Is Rent Per Square Foot the only factor to consider when evaluating a rental property?

No, while Rent Per Square Foot is a useful metric for comparing the cost-effectiveness of different rental options, it's important to consider other factors as well. These may include the lease terms, the condition and age of the property, the neighborhood and its amenities, and any additional costs such as utilities, parking, and maintenance fees.