Door value calculator
Enter the rent, your fee structure, and how long owners stay. Get annual revenue per door, lifetime value, and what one more year of tenure is worth. No signup, no email.
How to calculate what a door is worth
Lifetime value per door is annual revenue across every line multiplied by how long the owner stays. The management fee is about two thirds of it; the rest is the lines that get left out of the spreadsheet.
Take a single-family door renting at $1,800 with a 5% vacancy allowance. Collected rent is $20,520, so an 8% management fee is about $1,642. A leasing fee of half a month, earned once per two-year tenancy, adds $450 a year. A $200 renewal fee adds $100. A 10% markup on $2,400 of maintenance adds $240, and an $8 benefit package adds $96. That is roughly $2,528 a year, and across a four-year owner tenure, about $10,100.
Now change one input at a time. Moving tenure from four years to five adds another $2,528. Moving the management fee from 8% to 9% adds about $205 a year, or $820 across the same four years. One year of retention is worth roughly three fee increases.
For the full breakdown see door explained, and for the growth tactic with no acquisition cost attached, helping existing owners buy more rentals.
Door value questions
What is a door worth to a property management company?
It depends almost entirely on your fee structure and how long owners stay. On a $1,800 single-family rental at an 8% management fee with a 5% vacancy allowance, the fee alone is about $1,642 a year, and leasing, renewals, coordination markup and a benefit package bring the total near $2,530. Across a four-year owner tenure that is roughly $10,100.
Why does tenure matter more than the management fee percentage?
Because it multiplies everything. At $2,530 a year per door, one extra year of average tenure adds $2,530. Moving the management fee from 8% to 9% adds about $205 a year on the same door, or $820 across four years. One year of retention is worth roughly three fee increases.
Should I calculate lifetime value on revenue or profit?
Both, for different decisions. Revenue per door is what a buyer diligences when you sell the book. Contribution margin, meaning revenue minus the variable cost of servicing that door, is what an acquisition budget should be built on. Firms that budget acquisition off revenue overspend.
How do I convert owner churn into average tenure?
Average tenure is roughly one divided by the annual churn rate, so 10% churn implies about ten years and 25% implies four. Books rarely behave that cleanly, because owners who leave tend to leave early. If you do not track tenure directly, four years is a deliberately conservative default and the field above is where to raise it.
Is the marginal door worth more than the average one?
Yes. Your average door carries a share of the software, accounting, office, and people. The next door from an owner you already serve carries almost none of that: no acquisition cost, short onboarding, and an existing relationship. That is why a client purchase is the cheapest door on the growth list.
The cheapest door is one your owner buys. CapScout for teams gives every owner a branded analysis, a buy box that watches the market for them, and a portal that remembers what you sent.
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