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Updated over 4 years ago,

Luke Davis's profile image
Luke Davis's profile image
Luke Davis
  • Contractor
  • from Phoenix, AZ
  • Member since Aug 11, 2020
Connect

User Stats

29
Posts
15
Votes
Luke Davis's profile image
Luke Davis's profile image
Luke Davis
  • Contractor
  • from Phoenix, AZ
  • Member since Aug 11, 2020
Connect
Luke Davis
  • Contractor
  • Phoenix, AZ
15
Votes |
29
Posts
Buying & Selling Real Estate

Difference between ROI and Cap Rate

Luke Davis
  • Contractor
  • Phoenix, AZ
Posted

I was wondering what exactly is the difference between ROI and Cap Rate. From my understanding ROI is initial investment/net income x 100.

Is this the same for the cap rate, or is it calculated differently?

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