Free tool
Enter your units, rent, vacancy and expenses, then pick a cap rate. See net operating income, estimated value, value per unit and how the answer moves as the cap rate changes.
Apartment buildings are usually valued on income. Start with the rent your units earn, take out vacancy, add other income, and subtract operating expenses. What is left is net operating income. Divide it by a cap rate and you have an estimated value.
The cap rate is the biggest swing in the answer, and it is your call. We leave it to you on purpose and show the same NOI at cap rates a quarter point apart, so you can see the range instead of trusting one number.
The two levers below the result show what a $10 monthly rent increase and a 1% cut in expenses are worth. Small operating gains are multiplied by the cap rate, which is why operations are where an owner builds value.
Want the real numbers on your building?
Send us your rent roll and T12. We will show you your NOI today and where we would take it.
Questions
Insights
NOI sets what your building is worth, so every dollar you add to it is worth far more than a dollar. Here is where the real gains hide, on both the income and expense sides.
A cap rate tells you what you pay for today's income, and nothing about whether that income is real. Learn what multifamily cap rates hide and how to look past them.
Two buildings with the same rents can be worth very different amounts. The gap is often the operating expense ratio. Here is how it works and what a point is worth.
Total apartments
Per unit, collected or market
Parking, pet rent, utility billing, fees
Share of rent lost to empty units
Expenses as a share of effective gross income. Use your own trailing twelve months if you have them.
Your own assumption or your broker's. The starting number is only an example to edit, not a Reno market figure.
Estimated value
$7,980,800
at a 6% cap rate on $478,848 of NOI
Value per unit
$199,520
NOI per unit
$11,971
per year
What small gains are worth
Cap rate sensitivity
Value moves a lot with the cap rate you pick. Here is the same NOI from one point below to one point above your cap rate.
| Cap rate | Estimated value | Per unit | Versus yours |
|---|---|---|---|
| 5% | $9,576,960 | $239,424 | +$1,596,160 |
| 5.25% | $9,120,914 | $228,023 | +$1,140,114 |
| 5.5% | $8,706,327 | $217,658 | +$725,527 |
| 5.75% | $8,327,791 | $208,195 | +$346,991 |
| 6%yours | $7,980,800 | $199,520 | - |
| 6.25% | $7,661,568 | $191,539 | -$319,232 |
| 6.5% | $7,366,892 | $184,172 | -$613,908 |
| 6.75% | $7,094,044 | $177,351 | -$886,756 |
| 7% | $6,840,686 | $171,017 | -$1,140,114 |
Your numbers next to Reno averages
Your rent is $50 below the Reno average. Effective rent is rent after concessions, across all unit sizes.
Source: ALN Apartment Data, September 2026. Market-wide averages for conventional Reno apartments. Your building may differ in size, age and location.
An estimate for planning, not an appraisal, broker opinion or investment advice. Actual value depends on comparable sales, condition, financing and the buyer.
