What to include in a rental NOI?

[Jonah Stiles]

I've been running some mock property assessments from Zillow. I'm not quite sure I'm creating the NOI correctly. What all should I include in the income side and the expense side of the equation? How does mortgage fit in and mortgage insurance? If you think of anything else about figuring the NOI please include your thoughts. Thanks!

[J. Mitchell Bernier]

@Jonah Stiles Your NOI should include all income and expenses, except for debt payments. So all income would be rent, late fees, non-refundable deposits(pet fees), application fees, inspection fees. Your expenses would be Maintenance, Cap Expenditures, Insurance, Taxes, Vacancy Reserves. You would take all the income and subtract all those expenses and that will be your NOI. Then you would subtract your debt payments to get Net Annual Cash flow.

Good luck!