Net Operating Income Formula

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Net Operating Income is the total revenue generated from a property minus operating expenses but excluding debt service and income taxes. Check FAQs
NOI=TPR-OE
NOI - Net Operating Income?TPR - Total Property Revenue?OE - Operating Expenses?

Net Operating Income Example

With values
With units
Only example

Here is how the Net Operating Income equation looks like with Values.

Here is how the Net Operating Income equation looks like with Units.

Here is how the Net Operating Income equation looks like.

59500Edit=67500Edit-8000Edit
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Net Operating Income Solution

Follow our step by step solution on how to calculate Net Operating Income?

FIRST Step Consider the formula
NOI=TPR-OE
Next Step Substitute values of Variables
NOI=67500-8000
Next Step Prepare to Evaluate
NOI=67500-8000
LAST Step Evaluate
NOI=59500

Net Operating Income Formula Elements

Variables
Net Operating Income
Net Operating Income is the total revenue generated from a property minus operating expenses but excluding debt service and income taxes.
Symbol: NOI
Measurement: NAUnit: Unitless
Note: Value should be greater than 0.
Total Property Revenue
Total Property Revenue refers to the overall income generated from a property, including rent, fees, and other sources of revenue before deducting expenses.
Symbol: TPR
Measurement: NAUnit: Unitless
Note: Value should be greater than 0.
Operating Expenses
Operating Expenses are the ongoing costs incurred to maintain and manage a property or business, including utilities, maintenance, insurance, and property management fees.
Symbol: OE
Measurement: NAUnit: Unitless
Note: Value should be greater than 0.

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​Go Gross Income Multiplier
GIM=PSPEGI
​Go Effective Gross Income
EGI=GRI+OI-VBD

How to Evaluate Net Operating Income?

Net Operating Income evaluator uses Net Operating Income = Total Property Revenue-Operating Expenses to evaluate the Net Operating Income, The Net Operating Income is the total revenue generated from a property minus operating expenses but excluding debt service and income taxes. Net Operating Income is denoted by NOI symbol.

How to evaluate Net Operating Income using this online evaluator? To use this online evaluator for Net Operating Income, enter Total Property Revenue (TPR) & Operating Expenses (OE) and hit the calculate button.

FAQs on Net Operating Income

What is the formula to find Net Operating Income?
The formula of Net Operating Income is expressed as Net Operating Income = Total Property Revenue-Operating Expenses. Here is an example- 59500 = 67500-8000.
How to calculate Net Operating Income?
With Total Property Revenue (TPR) & Operating Expenses (OE) we can find Net Operating Income using the formula - Net Operating Income = Total Property Revenue-Operating Expenses.
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