Net Effective Rent Calculator
True monthly rent after free-month concessions.
Enter your values
ⓘ Live results
Results
- Net effective rent
- $2,791.67 / month
- Total lease cost
- $33,500.00
- You save
- $3,000.00
- Effective discount
- 6.9%
- Months actually paid
- 11
Quick answer
Net effective rent spreads any free months across the lease: net = gross × (term − free months) ÷ term.
net = gross × (term − free) ÷ term
How to use the Net Effective Rent Calculator
- 1Enter the advertised gross rent.
- 2Enter the lease term and free months offered.
- 3Add any non-refundable upfront fees.
Worked example
Using the values the calculator loads with:
Inputs
- Gross monthly rent3000 $
- Lease term12 months
- Free months1
- Upfront fees500 $
Results
- Net effective rent$2,791.67 / month
- Total lease cost$33,500.00
- You save$3,000.00
- Effective discount6.9%
- Months actually paid11
Frequently asked questions
What is net effective rent?
The average monthly cost once concessions are spread over the whole lease — the number to compare between listings.
Do I actually pay net effective rent each month?
No. You pay the gross rent in the non-free months; net effective is just the averaged figure.
About this calculator
- Built and reviewed by James Whitfield · How we build and test calculators
- Report an error
Results are estimates for general information. For medical, legal, structural or financial decisions, confirm with a qualified professional.