Real Estate & Property

Net Operating Income (NOI)

A real estate financial metric measuring a property's annual income after operating expenses but before debt service.

Also known as: NOI

Net Operating Income (NOI) is the financial output of a real estate asset before debt service: total rental income, minus vacancy, minus operating expenses (taxes, insurance, maintenance, property management, utilities). NOI is the foundation for cap rate calculations and the primary metric for evaluating property-level performance.

For real estate investor portals, property-level NOI (year-to-date, trailing twelve months, vs. underwriting) is displayed prominently on each property page. LPs use NOI trends to assess whether a deal is performing as projected.