Buying & Selling Real Estate
Market News & Data
General Info
Real Estate Strategies
Landlording & Rental Properties
Real Estate Professionals
Financial, Tax, & Legal
Real Estate Classifieds
Reviews & Feedback
Updated over 4 years ago,
Returns on an Investment Property
There are many ways to calculate a "ROI" (Return on Investment) for investing in a property. I have seen posts on IRR (Internal Rate of Return) CoC (Cash on Cash return) ect....
Has anyone tried to calculate the total return on an investment property?
Generally speaking, we hope to achieve returns better than that of other investment methods. How do you calculate "Sweat Equity" or time put into an investment property that caused an increase in value?
If you pull your money out (Usually via a "Cash out Refinance") and still own the property, are you not now getting an infinite return because you have no money "Invested" currently in the property?
Have any of you tried to calculate a total return from purchase day 1 to last day of ownership / sale? Either Dollar value / percentage or some other method?
Thanks,
Ben