Finance category

Mortgage, loan, investing, tax, and money calculators.

Vacancy Sensitivity Calculator

Vacancy directly reduces NOI dollar-for-dollar. This calculator shows NOI and exit value impact across vacancy scenarios from sub-market lows to recessionary highs.

Gross potential rent

Operating expenses (assumed flat)

Low vacancy %

Base vacancy %

Stress vacancy %

Exit cap rate

Base case value

$8,833,333

Low-vacancy value

$9,333,333

Stress value

$7,500,000

Stress NOI

$450,000

Base → stress value loss

$1,333,333

How the math works

Vacancy hits NOI on a 1-for-1 basis (less some variable expense savings, which are small for fixed-heavy multifamily). A 10% vacancy jump on $1M GPR = $100k NOI loss.

At a 6% exit cap, $100k NOI loss = $1.67M of value destruction. Stress-testing vacancy at double historical norms exposes this risk before you commit capital.

Editorial noteMaintained by EveryCalc - Reviewed June 2026

EveryCalc calculators are designed for fast, practical estimates with transparent inputs and no required account. We use plain formulas, visible assumptions, and related tools so visitors can check the result from more than one angle.

Results are informational only. For financial, tax, legal, medical, construction, or other high-impact decisions, verify the output against primary sources or a qualified professional.

Learn more about our review process on the EveryCalc methodology page.

How this calculator works

What this page estimates

This Vacancy Sensitivity Calculator is built to give a quick, browser-based estimate for vacancy sensitivity. Vacancy directly reduces NOI dollar-for-dollar. This calculator shows NOI and exit value impact across vacancy scenarios from sub-market lows to recessionary highs. The inputs stay on the page during normal use, and the result should be treated as an estimate for planning, comparison, or education rather than professional advice.

Calculation approach

The calculator applies the standard relationship implied by the inputs, then formats the answer so it can be checked and reused. For finance tools, the most important step is using consistent units, rates, time periods, and assumptions before comparing the result with another calculator or outside quote.

Example workflow

For example, start with a realistic value you already know, change one input at a time, and watch how the answer moves. That makes it easier to tell whether the result is being driven by the main amount, the rate, the time period, or a unit conversion.

Practical checks

Use current, real-world numbers when the result affects money, health, tax, or legal decisions.
Run a low, base, and high case when the inputs are estimates.
Check the related calculators below when the next decision depends on a different assumption.

How to interpret the vacancy sensitivity result

Best use

Use the result as a planning number for comparing payments, rates, returns, tax reserves, or cash-flow choices before you request a quote or make a commitment.

Cross-check

Compare the answer with the contract, lender estimate, tax form, brokerage statement, payroll record, or invoice that will control the real-world outcome.

Watch for

Do not rely on a single optimistic rate, return, or fee assumption. Money pages work best when you run low, base, and high cases and keep professional advice separate from the estimate.

This page belongs to the Finance calculator library, so the answer should be read in the context of the decision you are modeling rather than as a universal rule.

Before relying on this vacancy sensitivity estimate

Most calculator mistakes come from the inputs, not the arithmetic. Use this short audit before you reuse the answer in a spreadsheet, quote, application, or important conversation.

Confirm source numbers

Match balances, rates, fees, taxes, income, and payment dates against the lender quote, payroll record, tax form, statement, invoice, or contract.

Separate cash flow from total cost

A lower monthly payment can still cost more over time if fees, interest, taxes, or a longer term are hidden in the structure.

Run conservative cases

Test at least one higher-cost or lower-return case before using the output for a purchase, refinance, investment, loan, or tax decision.

Rerun this page when the rate, price, term, fee, tax rule, income, expense, or expected holding period changes.

How to Use

Enter gross potential rent and operating expenses.
Enter three vacancy scenarios — low, base, stress.
Enter exit cap.
Read NOI and value at each.

Frequently Asked Questions

Typical vacancy?

Multifamily stabilized: 5-7%. Urban class-A: 4-6%. Suburban class-B: 6-9%. Retail: 5-10% with co-tenancy risk layers. Office: 10-20% post-COVID. Industrial: 3-6%.

How do I know when to stress?

If the submarket historical vacancy peaked at 15% in a prior recession, that's your stress case. Institutional underwriters require scenario at 2x historical norm or 1.5x pro forma.

Economic vs physical vacancy?

Physical vacancy = empty units. Economic vacancy = uncollected rent (vacant + bad debt + concessions + loss-to-lease). Economic is usually 2-5 points higher than physical.

How do institutional LPs use this?

Institutional LPs expect sensitivity tables at every underwriting — base case plus at least two stress scenarios. Submit this output alongside traditional pro formas. LPs read quickly for two things: does the base case clear target IRR, and does the stress case produce positive equity multiple. If both yes, deal is investable. If stress goes negative, more equity or a lower purchase price is needed.