RentMyCondoMiamiRaphael Sitruk at CorcoranEstimate

HOA Fees and Rental Income: How to Calculate Your Net Return

By · Updated October 26, 2026

Gross rent is not your income — it's the starting point. Between HOA fees, property taxes, insurance, and management costs, your actual net return can be dramatically different from the headline number. Here's how to calculate what you'll really earn.

The Full Cost Stack

Every Miami condo landlord needs to account for these recurring expenses:

  • HOA / Maintenance Fees: Use your current statement, approved budget and any separate assessments.
  • Property Taxes: Use your actual tax bill and discuss any changes in ownership, exemptions or use with a qualified adviser.
  • Insurance: Obtain a quote for the intended rental use and check coverage with your insurer.
  • Property Management: Budget separately for ongoing management if needed. Leasing representation does not automatically include rent collection or maintenance.
  • Leasing Commission: Use the fee agreed in your brokerage contract. Fees are negotiable and there is no fixed standard.
  • Repairs and Maintenance: Estimate repairs, appliance replacement and turnover using the condition of your own property.
  • Vacancy: Model the effect of a gap between tenants and the time required for association approval.

An Illustrative Budget

Illustration only: assume a condo rents for $4,500/month, with the following hypothetical costs. These figures are not a current quote or a market forecast.

  • Gross Annual Rent: $54,000
  • Vacancy (1 month): –$4,500
  • HOA Fees: –$9,600 ($800/month)
  • Property Taxes: –$6,000
  • Insurance: –$2,400
  • Repairs/Maintenance: –$2,700
  • Leasing Commission: –$4,500 (amortized over 12 months)
  • Illustrative amount remaining before financing, tax and additional items: $24,300/year

The remaining $24,300 equals 45% of scheduled gross rent; the listed deductions total 55%. This is before mortgage payments, income taxes, capital improvements, special assessments and any separate management fee. It is not an investment yield: that also requires the property value or capital invested.

Special Assessments: The Hidden Risk

Check approved and proposed assessments, reserve information, inspections and recent meeting minutes. A special assessment can materially change cash flow and should be modeled separately rather than hidden inside a routine maintenance allowance.

Get My Free Rental Valuation