💵 Cash-on-Cash Return
Annual return on your invested cash
About this calculator
Cash-on-cash return shows what your actual invested cash earns each year. Enter your total cash invested — down payment plus closing costs — and your annual pre-tax cash flow after all expenses and mortgage payments. The result is your real yield on the money you put in.
Cash-on-cash equals annual cash flow divided by total cash invested, times 100. Invest $80,000 cash and clear $8,000 a year after everything, and you earn 10 percent cash-on-cash — a very different picture from cap rate, which ignores your financing.
Tip: Leverage magnifies this number both ways: a bigger mortgage boosts cash-on-cash when things go well, but one long vacancy can wipe out a year's return on a highly leveraged property.