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Updated almost 6 years ago,
Tarcizio GoncalvesPoster
Pro Member
- Rental Property Investor
- Palm Beach County, FL
- 40
- Votes |
- 150
- Posts
Cash on cash ROI vs Monthly cash flow
Happy New Year BP community,
I started to analyze rental properties with the rental property calculator on BP. One house in particular that I am currently analyzing, after playing with the numbers a bit, I got my monthly cash flow to approximately where I want to be. The cash on cash ROI on the other hand, its less than 4%. I know Brendan mentions in his videos that he wants to be somewhere between 12%-15% ROI. I am planning on holding on to my rental properties for a long time. Since this is the case, do I really have to worry about the ROI? Can I just focus on the monthly cash flow? Any advice would be extremely helpful.
Thank you