The design of reinforced concrete buildings must satisfy the serviceability stiffness criteria in terms of maximum lateral deflections and inter story drift in order to prevent both structural and non-structural damages. Consideration of plastic hinge formation is also important to obtain accurate failure mechanism and ultimate strength of reinforced concrete frames. In the present study, an iterative procedure has been developed for the analysis of reinforced concrete frames with cracked elements and consideration of plastic hinge formation. The ACI and probability-based effective stiffness models are used for the effective moment of inertia of cracked members. Shear deformation effect is also considered, and the variation of shear stiffness due to cracking is evaluated by reduced shear stiffness models available in the literature. The analytical procedure has been demonstrated through the application to three reinforced concrete frame examples available in the literature. It has been shown that the iterative analytical procedure can provide accurate and efficient predictions of deflections and ultimate strength of the frames studied under lateral and vertical loads. The proposed procedure is also efficient from the viewpoint of computational time and convergence rate. The developed technique was able to accurately predict the locations and sequential development of plastic hinges in frames. The results also show that shear deformation can contribute significantly to frame deflections.