Cash on cash return calculator
It answers a simple question: how much does the property return each year on the cash I put in?
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How to use it
- Enter cash invested (down payment, fees, works), annual rent collected, annual operating expenses and annual loan payments.
- The result appears straight away and updates as you edit.
- Copy the result, or copy a link that keeps the same values to share it.
How it is calculated
Annual cash flow = rent collected - operating expenses - annual loan payments. Cash on cash return = cash flow / cash invested x 100.
Example
Inputs: Cash invested (down payment, fees, works) = 250,000, Annual rent collected = 90,000, Annual operating expenses = 20,000, Annual loan payments = 45,000. Result: Cash on cash return: 10%; Annual cash flow: 25,000.00; Monthly cash flow: 2,083.33.
Limits and caveats
- Measures one year before tax and leaves out price growth and loan principal repaid.
- Enter rent after vacancy so the return is not overstated.
Questions about this tool
What counts as cash invested?
Everything you paid yourself: down payment, buying costs, renovation and furnishing, not the loan.
Why can it be higher than the cap rate?
Financing shrinks the cash you put in, so when the loan rate is below the property yield your return on cash rises.
Can it be negative?
Yes, when expenses and loan payments exceed rent, meaning you top it up every month.