CalculateRealEstateROI

Real Estate Term

Vacancy Rate

Percentage of time a unit is unoccupied within a year.

Reviewed by Keiron Brown, Founder & Editor, CalculateRealEstateROI · Educational estimates only — not investment, financial, tax, or legal advice

Explanation

Stabilized markets typically run 4–8%. Underwrite conservatively — 8–10% for most analyses.

Formula

Vacancy = Vacant Days ÷ 365