PropCalcAirbnb Investment ROI Calculator🇵🇹 🇪🇸 🇩🇪 🇫🇷 🇬🇧 🇺🇸
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Airbnb

Airbnb Investment ROI Calculator

Calculate the return on investment for an Airbnb property purchase. Includes acquisition costs, operating expenses, and country-specific tax rules.

Acquisition

Airbnb Operations

65%

Annual Operating Costs

25% Cat. B (AL) ou 28% Cat. F. Isenção até €10.000/ano (regime simplificado).

Results

6.6%
Net Yield
11.0%
Gross Yield
15 180 €
Annual Net Profit
15.1
Payback Period
Occupied Nights/Year237 nights
Annual Gross Revenue21 330 €
Cleaning Fees Collected3950 €
Total Annual Revenue25 280 €
Airbnb Platform Fees640 €
Annual Operating Costs4400 €
Income Tax Paid5060 €
Annual Net Profit15 180 €

Total Capital Invested

Purchase Price200 000 €
Acquisition Costs (7%)14 000 €
Setup & Furnishing Cost15 000 €
Total Capital Invested229 000 €
Tax Regime:Alojamento Local (RNAL) — registo obrigatório na CM
Licensing:Registo RNAL obrigatório. Condomínio pode proibir (Lei 62/2018).
Local Restrictions:Lisboa e Porto: moratória em vigor. Consultar CM local.

Deal Score

84/100

Excellent Deal

How It Works

Annual revenue = occupied nights × nightly rate + cleaning fees. Net profit deducts Airbnb fees, property tax, maintenance, insurance, and income tax. Gross yield = annual revenue / total invested. Net yield = net profit / total invested. Cash-on-cash = net profit / (purchase price × (1 - LTV) + acquisition + setup costs).

Frequently Asked Questions

What is a good Airbnb ROI?

A net yield above 6% is generally considered good for short-term rentals. In high-demand tourist areas, yields of 8-12% are achievable. However, Airbnb income is more variable than long-term rental — factor in seasonality and local regulations.

How does Airbnb income get taxed?

Tax treatment varies significantly by country. Portugal uses Categoria F or B (25% flat). Spain uses IRPF. France has the LMNP regime with 50% abatement. UK has the Furnished Holiday Let rules. US uses Schedule E. Always consult a local tax adviser.

What occupancy rate should I assume?

Average occupancy for Airbnb properties varies by location: 60-70% in major tourist cities, 45-55% in secondary markets. Use AirDNA or Mashvisor for local data. The calculator uses conservative market averages as defaults.

About This Calculator

This Airbnb Investment Calculator helps prospective and current real estate investors evaluate the profitability of short-term rental properties. By analyzing key financial metrics like Return on Investment (ROI), projected occupancy rates, and annual income, users can make informed decisions about acquiring or optimizing properties for the lucrative Airbnb market. It's an essential tool for anyone looking to maximize returns from their real estate portfolio through short-term rentals.

Methodology Details

1

Property Acquisition & Initial Investment

This step requires inputs related to the initial capital outlay for the property. This includes the **purchase price**, any **renovation or furnishing costs**, and **closing costs** (e.g., taxes, legal fees). These figures are crucial for determining the total upfront investment and will directly impact your ROI calculation.

2

Projecting Rental Income

Here, you'll input the estimated **average nightly rate** you expect to charge and the **target occupancy rate**. The nightly rate should be competitive for your market, while the occupancy rate can be estimated based on local market data, seasonality, and property features. These two inputs are fundamental for forecasting your gross annual revenue.

3

Estimating Annual Operating Expenses

This section covers all recurring costs associated with running your Airbnb. Key expenses include **utilities** (electricity, water, internet), **cleaning fees**, **property management fees** (if applicable, typically 15-25% of gross revenue), **maintenance and repairs**, **property taxes**, and **insurance**. Accurate expense tracking is vital for true profitability.

4

Financing Details & Loan Information

If you are financing the property, you'll need to input the **loan amount**, **interest rate**, and **loan term**. This allows the calculator to factor in your monthly mortgage payments, which significantly affect your cash flow and overall investment returns. Understanding your debt service is critical for financial planning.

5

Analyzing Key Performance Indicators

After inputting all the data, the calculator will process these figures to provide key performance indicators (KPIs) such as **Return on Investment (ROI)**, **Net Operating Income (NOI)**, **cash flow**, and the **break-even occupancy rate**. These metrics offer a comprehensive view of the property's financial viability and help compare different investment opportunities.

Worked Example — Braga, Portugal

For a short-let in Braga, Portugal, compare a 240 000 € property with its local nightly rate, occupancy and licensing costs.

  • Enter the expected nightly price, realistic occupancy, cleaning and platform costs.
  • Compare net short-let cash flow with the long-term rental alternative.
  • Check local registration, community and municipal rules before relying on the estimate.

The outcome is sensitive to local demand, licence rules and seasonality.

Additional Questions