True Net Equity™

Equity remaining after accounting for the cost to access it through refinancing.

Example Result

Sample Data

$70,840

Based on a sample $385,000 property with $2,850/month rent, 20% down, 7% interest rate.

See Your Own Properties

With the Rental Property Calculator™, you can run this calculation against your own rental properties using your real numbers.

View Pricing Sign In

True Net Equity™ Formula

Current Equity - Cost to Access Equity

Current Equity $77,000

- Cost to Access Equity —

= True Net Equity™ $70,840

What This Means

A sample property priced at $385,000 with $2,850/month rent has a true net equity™ of $70,840. Many investors overvalue their equity position by ignoring the cost to actually use it. True Net Equity™ gives you the realistic, usable equity figure. If your property has $100,000 in equity but it costs $8,000 to access it, your True Net Equity™ is $92,000. This is the number that matters for strategic decisions like refinancing or selling.

Where This Value Comes From

True Net Equity™ is not entered directly — it is calculated from Total Equity Current and Cost to Access Equity. See the formula breakdown above and the detailed inputs below.

Calculated From

True Net Equity™ is calculated using these inputs:

Total Equity Current

Current equity position (property value minus loan balance).

$77,000

Cost to Access Equity

Total estimated cost to convert paper equity into usable cash.

$6,160

Platform Distribution

Unlock Platform Benchmarks

See the average, median, and where your property ranks among 105 properties on the platform.

Unlock Rental Property Calculator

Why It Matters

Many investors overvalue their equity position by ignoring the cost to actually use it. True Net Equity™ gives you the realistic, usable equity figure. If your property has $100,000 in equity but it costs $8,000 to access it, your True Net Equity™ is $92,000. This is the number that matters for strategic decisions like refinancing or selling.

Detailed Explanation

True Net Equity™ subtracts the estimated cost of accessing your equity (through a cash-out refinance) from your current equity position. Paper equity is only valuable if you can access it, and accessing it has real costs — closing costs, origination fees, and potentially higher rates.