The percentage of time a rental property sits empty without a tenant generating income.
Vacancy rate measures how often a rental property is unoccupied, expressed as a percentage of total potential rental time. It's a critical input in rental property analysis because vacant periods directly reduce gross rental income. Investors should always include a realistic vacancy rate when projecting cash flow.
Vacancy Rate = (Vacant Days ÷ Total Days) × 100Vacancy rate equals vacant days divided by total days in a period, expressed as a percentage.
Your rental property was vacant for 15 days last year while you searched for a new tenant. Vacancy rate = (15 ÷ 365) × 100 = 4.1%. If your monthly rent is $2,000, that vacant period cost you about $1,000 in lost rent.
Richify automatically calculates vacancy rate and other key real estate metrics for every property in your portfolio. Instead of plugging numbers into spreadsheets, you get instant analysis with built-in AI-powered insights to help you spot trends and opportunities across your holdings.
The net cash a rental property generates after all expenses including mortgage payments.
Annual rental income minus operating expenses, before mortgage payments.
The percentage of gross rental income needed to cover all operating expenses and debt service.
The percentage of gross rental income consumed by operating expenses.
Stop calculating real estate metrics by hand. Richify computes vacancy rate and 10+ other key metrics for every property in your portfolio.
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