Property Details

$
$
$
$

Income & Expenses

$
$
%
%

Financing

$
%
years

Monthly Cash Flow

-$478

per month

Cash on Cash ROI

-3.8%

annual return

Cap Rate

4.9%

capitalization

5-Year Total ROI

-0.7%

total return

DSCR

0.81x

coverage ratio

GRM

13.9

multiplier

Investment Summary

Total Investment $552,000
Loan Amount $400,000
Down Payment $152,000
LTV Ratio 80.0%
Monthly Mortgage $2,528

Cash Flow Breakdown

Gross Income $36,000
Vacancy (5%) -$1,800
Operating Expenses -$9,600
Mortgage -$30,339
Net Cash Flow -$5,739

5-Year Projection

Exit Price

$579,637

Total Equity

$179,637

Total Profit

-$1,059

Annualized ROI

-0.1%

Understanding Investment Property Metrics

Key Performance Indicators

Cash Flow

Monthly income after all expenses. Positive cash flow means the property pays for itself and generates profit.

Cap Rate

Return based on property price alone. 4-6% = stable markets, 8-12% = higher returns, potential higher risk.

Cash-on-Cash Return

Annual return on your actual cash invested. Target 8-12% for rental properties.

Investment Strategies

Buy & Hold

Long-term rental strategy focused on cash flow and appreciation over 5+ years.

BRRRR Method

Buy, Rehab, Rent, Refinance, Repeat - build portfolio with minimal capital.

Fix & Flip

Short-term strategy to profit from renovations. Target 20%+ ROI in under 6 months.

Pro Tips for Deal Analysis

  • • Always factor in 5-10% vacancy rate for realistic cash flow
  • • Budget 1-2% of property value annually for maintenance
  • • Verify rental comps in the immediate neighborhood
  • • Ensure DSCR above 1.25 for lender qualification
  • • Account for property management (8-10% of rent)
  • • Conservative appreciation estimates (2-4% annually)
  • • Include all closing costs and holding expenses
  • • Build reserve fund for capital expenditures