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Cash-on-Cash Return Calculator

See your actual return on the cash you invest, including the impact of financing.

Your Numbers

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Results

Total Cash Invested

$57,500

Down payment + 3% closing costs

Monthly Mortgage

$1,331/mo

30-year amortization

Monthly Cash Flow

$169/mo

Rent - expenses - mortgage

Cash-on-Cash Return

3.5%

Annual cash flow / total cash invested

Formula

CoC Return = (Annual Cash Flow / Total Cash Invested) x 100

Annual cash flow is your NOI minus annual debt service (mortgage payments). Total cash invested includes your down payment and closing costs.

What is it

What is Cash-on-Cash Return?

Cash-on-cash (CoC) return measures your annual return on the actual cash you put into a deal. Unlike cap rate, it accounts for your specific financing — loan amount, interest rate, and down payment.

Why it matters

Why it matters

CoC return is the metric that tells you whether a deal is worth YOUR money. Two investors buying the same property with different financing will have different CoC returns. It's the most personal, actionable metric you can calculate.

Benchmarks

What's a good cash-on-cash return?

Target 8-12% for buy-and-hold rentals. Below 4% and you're better off in an index fund. Above 12% is excellent but verify your assumptions — it might mean you've been too optimistic on rent or too conservative on expenses.