Airbnb ROI Calculator
See what a short-term rental could net you each year and your cash-on-cash return, from nightly rate, occupancy, expenses and upfront cost.
Reviewed by the CalcCafe editorial team · Last updated 1 July 2026 · How we test our tools
Example
A listing at $150/night with 65% occupancy books about 237 nights, grossing $35,588 a year. Subtract $1,500/month ($18,000/yr) in expenses and it nets $17,588. Against a $25,000 startup cost — furniture, deposits and setup — that is a cash-on-cash ROI of about 70.4%.
How it works
Gross revenue = nightly rate × 365 × occupancy% ÷ 100. Annual net income = gross revenue − (monthly expenses × 12). Cash-on-cash ROI = annual net income ÷ startup cost × 100, shown as 0 when startup cost is zero.
Good to know
Short-term rental math lives or dies on two numbers most people guess badly: the nightly rate you can actually command year-round, and how many of those 365 nights get booked. This tool multiplies them into gross revenue, strips out a year of operating expenses to get net income, and then measures that profit against the cash you sank in up front — the cash-on-cash return that tells you how hard your invested dollars are working.
Be honest with occupancy. A calendar that looks full in July can sit empty in February, and the annual average that matters for planning is usually far below peak-season intuition — often 50–70% for a well-run listing, lower while you are building reviews. Blend your best and worst months rather than anchoring on a great weekend. Likewise, load the monthly-expenses field fully: cleaning, platform and management fees, utilities, internet, insurance, supplies, repairs, HOA dues and property tax all belong there, not just the mortgage.
Startup cost is the denominator of your ROI, so it drives the headline percentage as much as profit does. Include furnishing, appliances, linens, initial deposits, permits and any renovation needed to get to a listable state. A leaner setup or a property you already own dramatically changes the return, which is exactly why the same net income can look mediocre or excellent depending on what you spent to get there.
Treat every figure here as a planning estimate rather than a forecast. It ignores financing and mortgage principal, appreciation, taxes on rental income, seasonality within the year, and local regulation — and many cities cap or ban short-term rentals outright. Verify the rules for your address and pressure-test the numbers with real comparable listings before you commit capital.
Frequently asked questions
What is a good cash-on-cash ROI for an Airbnb?
Many short-term-rental investors target roughly 8–15% cash-on-cash, though hot markets or low-cost setups can run higher. What counts as 'good' depends on your risk, effort and alternatives — compare it to a long-term rental or index fund before deciding.
Does this include mortgage or financing costs?
Only if you enter them. The monthly-expenses field is where you'd add loan payments, so include your mortgage there if the property is financed; otherwise the result reflects an all-cash view of operating profit.
Is my data uploaded anywhere?
No — this calculator runs entirely in your browser. Your inputs never leave your device, and it works offline once loaded.
Is this calculator free?
Yes, completely free with no sign-up and no limits.
People also ask
How do you calculate Airbnb ROI?
Estimate annual net income (nightly rate × 365 × occupancy%, minus a year of expenses), then divide it by the cash you invested up front and multiply by 100. That cash-on-cash figure is the standard way to compare rental returns.
How much can you make from an Airbnb?
It varies enormously by location, rate and occupancy. A $150/night listing at 65% occupancy grosses about $35,000 a year before expenses; net income after cleaning, fees and utilities is typically a fraction of that.
What occupancy rate should I assume for a short-term rental?
Use a realistic annual average, often 50–70% for an established listing and lower while you gather reviews. Blend high and low seasons rather than assuming peak-month bookings all year.
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Sources & references
These tools follow our methodology and provide educational estimates only — verify important figures with a qualified professional.