I will tell you this, there are people hear who would truly maximize your rate return in other markets working with a cash position like that.

Monthly rent: $1000 (1% rent/value ratio). 20% downpayment. 10% CoC return (or $2000).

Is the property reported as her primary on her tax return?

I hope everybody has a wonderful Memorial Day Weekend.  

Well, maybe something with a 3% return in an A-class neighborhood.

I have been looking for a good rental property for some time but with the condition of the current market,  rentals with 2% return are not easily found in my area anymore.

I am wondering how do I calculate the cash on cash return?  

I am a huge believer in actually renting them to get the best return. 

I analyze properties based on cap rate and cash-on-cash return, have you considered those tools? 

I use the P&I payments on the upb to calculate my annualized return on a reperforming note, but I use the estimated payoff to calculate my overall net profit should the loan payoff early or go to foreclosure.