There are a few different ways to calculate rental revenue. The most common method is to take the monthly rent amount and multiply it by the number of months the property is leased for. For example, if a property is leased for 12 months at $1,000 per month, the rental revenue would be $12,000.
Another way to calculate rental revenue is to take the total amount of rent paid over the course of the lease and subtract any expenses that were incurred, such as marketing costs, repairs, or commissions. For example, if a property is leased for 12 months at $1,000 per month and the total amount of rent paid is $12,000, but the landlord incurred $500 in marketing costs and $1,000 in repairs, the rental revenue would be $10,500.
The final way to calculate rental revenue is to take the total amount of rent paid over the course of the lease and subtract any expenses that were incurred, as well as the initial investment in the property. For example, if a property is leased for 12 months at $1,000 per month and the total amount of rent paid is $12,000, but the landlord incurred $500 in marketing costs, $1,000 in repairs, and the property was purchased for $100,000, the rental revenue would be $9,500.
