Rental Property Cash Flow Calculator Canada 2025

Instantly calculate monthly cash flow, annual return, and cap rate on any Canadian rental property.

Cash Flow Calculator

Monthly Gross Rent ($)

Monthly Mortgage Payment ($)

Monthly Property Tax ($)

Monthly Insurance ($)

Monthly Maintenance Reserve ($)

Vacancy Allowance (% of rent)

Property Management Fee (% of rent)

Other Monthly Expenses ($)

Purchase Price ($)

Down Payment ($)

Gross Monthly Rent

Vacancy Allowance

Effective Gross Income

Total Monthly Expenses

Monthly Cash Flow

Annual Cash Flow

Cash-on-Cash Return

Cap Rate (NOI / Price)

What Is Rental Property Cash Flow?

Cash flow is the money left over after all expenses are paid from rental income. Positive cash flow means the property puts money in your pocket each month. Negative cash flow (sometimes called "feeding the mortgage") means you pay out of pocket to hold the property.

Key Metrics Explained

Metric	Formula	What It Tells You
Monthly Cash Flow	EGI − All Expenses	Monthly profit/loss
Cash-on-Cash Return	Annual CF ÷ Down Payment	Return on cash invested
Cap Rate	NOI ÷ Purchase Price	Property yield ignoring financing
NOI	EGI − Operating Expenses (excl. mortgage)	Pre-financing income

Canadian Cash Flow Benchmarks 2025

Market	Typical Cap Rate	Cash Flow Outlook
Toronto	3–4%	Neutral to slightly negative
Vancouver	2.5–3.5%	Often negative; appreciation play
Calgary	4–6%	Generally positive cash flow
Edmonton	5–7%	Strong positive cash flow
Ottawa	3.5–5%	Near neutral to positive
Hamilton/Kitchener	4–5.5%	Moderate positive

A cap rate above 5% generally signals decent cash flow potential in Canada. Below 4% suggests the investment is primarily an appreciation play.

How to Improve Cash Flow

Increase rent to market rates when tenants turn over
Add a secondary suite (basement apartment) to boost income
Reduce vacancy by screening tenants thoroughly
Refinance at a lower rate when market conditions allow
Buy in markets with lower price-to-rent ratios
Do property management yourself to save 8–12% of rent

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Conclusion

Cash flow analysis is the foundation of smart rental property investing. Use the calculator above to model any property before you buy, and revisit it annually as rents, expenses, and mortgage rates change. Focus on markets with reasonable price-to-rent ratios and always budget for vacancies and maintenance to avoid cash-flow surprises.