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Rental property ROI calculator

Enter the purchase, the money you actually put in, and the operating numbers to see annual cash flow and cash-on-cash return.

Cash-on-cash return
6.11%
Purchase price
$400,000
Total cash invested
$95,000
Annual cash flow
$5,800
Monthly cash flow
$483.33

Excludes appreciation, principal paydown and tax effects — this is first-year cash return only.

Returns shown here exclude appreciation, loan principal paydown, tax effects and selling costs. They are a cash-on-cash snapshot for the first year at the inputs you entered, not a forecast.
Add this rental property to Ayillo

Then measure the return against real collected rent instead of a projection.

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What this calculates

Total cash invested is down payment plus closing costs plus renovation. Annual cash flow is annual rental income minus operating expenses minus annual financing cost. Cash-on-cash return is annual cash flow divided by total cash invested.

That deliberately leaves out the parts of return that are not cash in your pocket this year: appreciation, principal paydown, and depreciation benefits. Those matter, but mixing them into one headline number hides what the property actually pays you.

Assumptions to state explicitly

  • The vacancy rate you assumed
  • Whether management is priced in
  • Whether reserves for roof, HVAC and turnover are included
  • Whether the rent is current actual rent or a projected market rent

Frequently asked questions

What is the difference between ROI and cap rate?
Cap rate ignores financing and measures the property. Cash-on-cash ROI includes your loan and measures your position in the deal.
Does this include appreciation?
No. It is a first-year cash return only.

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