Cash-on-Cash Return Calculator
Your leveraged annual return, instantly. No signup.
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Cash-on-cash formula
Cash-on-cash = annual pre-tax cash flow ÷ total cash invested × 100. Annual cash flow = (rent − vacancy − expenses − mortgage) × 12. See the unleveraged view with our cap rate calculator.
Frequently asked questions
What is a good cash-on-cash return?
Many buy-and-hold investors target 8–12%. In expensive coastal markets 4–6% is common; value-add and midwest deals can exceed 12%. Compare against what your cash earns elsewhere.
How is cash-on-cash different from cap rate?
Cap rate ignores the mortgage; cash-on-cash measures the return on the actual cash you put in, after debt service. It is the leveraged return.
What counts as cash invested?
Down payment, closing costs, upfront rehab, and lender fees — every dollar out of pocket to acquire and stabilize the property.