Cash-on-cash return calculator
Cash-on-cash return is the yearly cash flow divided by the cash you actually put in. It answers: what is my money earning compared with leaving it in savings or index funds?
Formula
Cash-on-cash = yearly cash flow ÷ cash invested × 100
Cash invested = down payment + closing costs + rehab. The quick check uses the down payment only; the full analysis adds the rest.
Example: $5,300 of yearly cash flow on $56,000 down is a 9.5% cash-on-cash return. Add $8,000 of closing costs and it's 8.3%.
Quick check
Free · no signup
Cash-on-cash return
9.55%
Verdict
Looks like a good deal
Rent covers every cost with money left over each month.
- Cash flow
- $445/mo
- Cap rate
- 8.14%
- DSCR
- 1.31
Quick estimate with typical costs: property tax 1.2%/yr, insurance 0.5%/yr, 5% vacancy, 10% of rent for repairs, 30-yr loan. The full analysis uses your real numbers, adds a stress test and an AI report.
What counts as good?
Below 0%
Losing money each year on the cash you put in.
0–5%
Similar to low-risk savings — the deal relies on appreciation.
5–10%
A common target for financed single-family rentals.
10%+
Strong. Check the assumptions are realistic.
Questions investors ask
What is a good cash-on-cash return?
Many investors aim for 8–12%. Below 5% you may do better in lower-risk investments unless you expect strong appreciation.
How is cash-on-cash different from cap rate?
Cap rate ignores the loan and uses the full price. Cash-on-cash includes the mortgage and divides by only the cash you invested, so leverage can make it higher or lower than the cap rate.
Should closing costs be included?
Yes. Every dollar you put in — down payment, closing costs and rehab — counts as cash invested. The full DealLens analysis includes them.
Need the full picture?
Your real costs, closing and rehab, a ⚡ stress test and an AI investment report.
More calculators: Rental property · Cap rate · DSCR