Use the free Airbnb and VRBO Deal Analyzer to run the math, then use this checklist to decide whether the output is believable. The calculator is only as useful as the assumptions you put into it.
Analyze your deal now
Enter revenue, expenses, financing, and setup costs to see cash flow, ROI, cap rate, and break-even occupancy.
What an Airbnb Deal Analyzer Should Tell You
The analyzer should answer one question: does this property work after realistic assumptions? A useful model separates revenue, fixed costs, variable costs, financing, and startup cash so you can see which assumption is carrying the deal.
Annual cash flow
Gross revenue - operating expenses - debt service
Shows whether the property produces spendable cash after normal costs.
Cash-on-cash return
Annual cash flow / total cash invested
Compares the deal against other ways you could deploy the same capital.
Cap rate
Net operating income / purchase price
Compares properties before financing structure changes the result.
Break-even occupancy
Required booked nights / available nights
Tests how much demand can fall before the deal stops covering its costs.
The Input Checklist
Before you trust the output, gather the core inputs yourself. If a listing agent, seller, or host gives you a revenue projection, use it as a starting point, not as proof.
- Market revenue: nightly rate, occupancy, seasonality, and average stay length
- Operating costs: cleaning, supplies, utilities, insurance, maintenance, and management
- Acquisition costs: down payment, closing costs, furnishing, repairs, and reserves
- Financing: payment, rate, taxes, insurance escrow, and lender-specific DSCR constraints
- Risk controls: break-even occupancy, regulation, HOA rules, and slower-season cash cushion
Stress-Test the Deal Before You Get Excited
The easiest way to fool yourself is to model one optimistic case. Run at least three cases: expected, conservative, and ugly. The expected case tells you the upside. The conservative case tells you whether the deal is financeable. The ugly case tells you how much cash reserve you need.
Watch the break-even occupancy
If a property needs very high occupancy just to break even, small changes in pricing, regulations, or booking demand can erase the deal. Lower break-even occupancy usually matters more than a flashy best-case ROI.
When to Walk Away
Walk away or renegotiate when the deal only works with aggressive occupancy, underpriced cleaning, no maintenance reserve, ignored management labor, or unclear local STR rules. A real deal should work with boring assumptions.
If you are comparing an owned STR against rental arbitrage or a long-term rental, run the same address through the rental arbitrage calculator and the Airbnb vs long-term rental calculator before deciding which strategy actually fits the property.
Run the numbers
Calculate cash flow, cash-on-cash return, cap rate, and break-even occupancy with the free STR deal analyzer.