Real Estate
Cash-on-Cash Return Calculator
Annual cash flow over the cash you actually put in — the levered return.
Free cash-on-cash return calculator. Enter monthly income, monthly expenses, and total cash invested to see your annual cash flow and cash-on-cash return percentage.
Cash-on-cash = annual cash flow ÷ cash invested. Unlike cap rate, it includes financing — the return on the cash actually out of your pocket.
How it works
Enter monthly income and expenses
Input the property's monthly income and total monthly expenses, including the mortgage payment.
Enter your cash invested
Add the total cash you put into the deal — down payment, closing costs, and rehab.
Read your return
The calculator returns monthly cash flow, annual cash flow, and your cash-on-cash return.
Frequently asked
What is cash-on-cash return?
Cash-on-cash return is annual pre-tax cash flow divided by the total cash you invested, as a percentage. Unlike cap rate, it accounts for financing — it measures the return on the actual cash out of your pocket.
How do you calculate cash-on-cash return?
Cash-on-cash = annual cash flow ÷ total cash invested. If a property nets $6,000/year in cash flow and you put in $50,000 (down payment + closing + rehab), the cash-on-cash return is 12%.
What's the difference between cap rate and cash-on-cash?
Cap rate is unlevered (ignores the mortgage) and measures the property's yield; cash-on-cash is levered (includes financing) and measures the return on your cash. Two investors buying the same property at different leverage get the same cap rate but different cash-on-cash returns.
What's a good cash-on-cash return?
Many rental investors target 8–12%+ cash-on-cash, though it varies by market and strategy. The right benchmark is whether the return beats your alternatives for that cash at a comparable risk level.